• If you are having problems logging in please use the Contact Us in the lower right hand corner of the forum page for assistance.

Meltdown 101: Why would a GDP revision be so huge?

Tex

Well-known member
That is a big drop. I hope it turns around.

One good thing about inventories going down is that more will have to be produced.
 

Sandhusker

Well-known member
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....
 

Mike

Well-known member
Sandhusker said:
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....

The new word for the day is......WE TOLD THEM SO!!!!!!!!

Now the Libs CANNOT EVER say another word about Bush's spending. :lol:

This guys makes Bush's spending habits look miserly........... :lol: :lol:
 

Mrs.Greg

Well-known member
Sandhusker said:
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????
 

Mike

Well-known member
hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses

Yes, but they had quotas to meet (thanks to Barney) and the blessing of the Federal Reserve Bank Regulators. How were they supposed to know that too many house were built? :lol: :lol: :lol:
 

Sandhusker

Well-known member
They'll still wail about Bush's spending. They'll claim it was Bush's spending that got us in this mess and then say that we need more spending to get out. The new spending will be "good" spending because it won't be called "spending", it will be called "stimulus". When asked to explain the difference, it will be said that Bush spent in Iraq, ignoring the fact that the Democrats overwhelmingly supported going into Iraq or that US companies were the main suppliers to the war.

Facts won't matter, Mike. It's all about how you want to percieve things, not how they actually are.
 
A

Anonymous

Guest
Mrs.Greg said:
Sandhusker said:
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????

Sure did....And since they changed the laws/rules so the Banks/Lenders could swap away those loans- not keeping any of the risk of the loan (skin in the game)- and were making money servicing these loans- and their brokers were getting commissions/bonus's on how many loans they handed out- they never even tried to verify credit ratings- or whether people could pay for them-- instead actually pushing higher priced loans/homes (bigger commission for the broker :roll: ) on people...

And the sad thing is that from the testimony coming out, some of the CEO's knew this was a practice happening in the lending world- and said nothing- putting GREED over ETHICS.....
 

Mrs.Greg

Well-known member
Oldtimer said:
Mrs.Greg said:
Sandhusker said:
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????

Sure did....And since they changed the laws/rules so the Banks/Lenders could swap away those loans- not keeping any of the risk of the loan (skin in the game)- and were making money servicing these loans- and their brokers were getting commissions/bonus's on how many loans they handed out- they never even tried to verify credit ratings- or whether people could pay for them-- instead actually pushing higher priced loans/homes (bigger commission for the broker :roll: ) on people...

And the sad thing is that from the testimony coming out, some of the CEO's knew this was a practice happening in the lending world- and said nothing- putting GREED over ETHICS.....
Maybe a change to a socialist country's way of banking...I hear Canada's banking system is the best in the world.... :wink:

Seriously though that is disgusting OT...giving out and pushing higher loans to people who can't afford the homes just to make their own money,now these homes are abandoned. I know a number of Canadians that are taking advantage of this and buying vacation homes in the US,my sister being one of them.
 

Sandhusker

Well-known member
Mrs.Greg said:
Sandhusker said:
What got us into this mess was excessive spending, which is one of the reasons that I don't understand why the libs think the way out is record spending....
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????

It all started with banks having to comply with CRA requirements that forced them to make loans they normally wouldn't make following time-tested underwriting. These CRA requirements were put in place by the liberals because, even though making good loans is how banks make their money, everybody knows that bankers are racists and will turn down a good loan if the applicants are minorities.

Following up on the notion that minorities needed housing, even if tested underwriting showed they could not afford it and would only get themselves in trouble, the liberals loosened up Fannie and Freddie and told mortgage makers that they would buy those loans from them. Don't worry about the fact that common sense says they're bad loans, just make them and we'll take them. People like Country Wide took full advantage of this and helped set up millions for failure by putting them in unrealistic mortgages. In order to keep the gravy train rolling, they bribed liberals like Chris Dodd and Barak Obama to thwart any reform that Republicans were calling for.

So, Mrs. Greg, you notice how this all comes back to liberals? You don't have to wonder what created the system that caused all the excesses and failures, it was liberals.
 
A

Anonymous

Guest
Mrs.Greg said:
Oldtimer said:
Mrs.Greg said:
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????

Sure did....And since they changed the laws/rules so the Banks/Lenders could swap away those loans- not keeping any of the risk of the loan (skin in the game)- and were making money servicing these loans- and their brokers were getting commissions/bonus's on how many loans they handed out- they never even tried to verify credit ratings- or whether people could pay for them-- instead actually pushing higher priced loans/homes (bigger commission for the broker :roll: ) on people...

And the sad thing is that from the testimony coming out, some of the CEO's knew this was a practice happening in the lending world- and said nothing- putting GREED over ETHICS.....
Maybe a change to a socialist country's way of banking...I hear Canada's banking system is the best in the world.... :wink:

Seriously though that is disgusting OT...giving out and pushing higher loans to people who can't afford the homes just to make their own money,now these homes are abandoned. I know a number of Canadians that are taking advantage of this and buying vacation homes in the US,my sister being one of them.

SH-besides the weakening of the banking/lending/investing laws that gave the lenders the ability to dump bad risk- in the push to put minorities into housing, don't forget GW's nonenforcement order that let lenders/regulators avoid the law that required verifying if the borrower was a legal citizen/immigrant or not... Much of California's and Colorados economic and housing problems are being attributed to that....

And in many cases with the pile of paperwork the brokers/bankers helped people fill out- and their rush to push these loans for their commissions some of the folks didn't understand or realize what they were getting into...
Thru the PM's and private communications I've had--I know of at least 2 folks who post regularly on ranchers- that are ranch people-that are trusting folks- that ended up with one of these floating notes on a home- that went out of sight and put them in a bad bind...

Its going to be a long time before folks trust a banker or Wallstreet financier again......
 

Mike

Well-known member
Its going to be a long time before folks trust a banker or Wallstreet financier again......

That's why the Fed (the biggest regulator of them all), and who the U.S. government has little or no control of should go.

There are flaws in the Gold Standard also but at least the people we vote for are calling the shots................
 

Sandhusker

Well-known member
SH-besides the weakening of the banking/lending/investing laws that gave the lenders the ability to dump bad risk- in the push to put minorities into housing, don't forget GW's nonenforcement order that let lenders/regulators avoid the law that required verifying if the borrower was a legal citizen/immigrant or not... Much of California's and Colorados economic and housing problems are being attributed to that....

That wasn't right, but enforcement wouldn't of changed a dang thing in the big picture. Bottom line is that people were getting loans that shouldn't of been getting loans because that is exactly what the liberals made as government policy.

And in many cases with the pile of paperwork the brokers/bankers helped people fill out- and their rush to push these loans for their commissions some of the folks didn't understand or realize what they were getting into...

That may be true, but it's their responsibilty to know what they're getting into. If you don't understand the deal, you don't sign the documents. One of Omaha's finest once told me that "Ignorance of the law is no excuse". The same applies here. Again, we're bumping into the concept of personal responsibility that liberals just can't seem to figure out.

Its going to be a long time before folks trust a banker or Wallstreet financier again......

If the people understood where the problems really came from, it would be a long time before they trusted liberal politicians.
 

Sandhusker

Well-known member
reader (the Second) said:
Sandhusker said:
Mrs.Greg said:
One wonders doesn't one...how some people got the excessive mounts of money to spend on things,likes HOMES,hmmmm could it be the banks and bank managers gave money to people that couldn't NEVER afford to pay for these excesses?????????????

It all started with banks having to comply with CRA requirements that forced them to make loans they normally wouldn't make following time-tested underwriting. These CRA requirements were put in place by the liberals because, even though making good loans is how banks make their money, everybody knows that bankers are racists and will turn down a good loan if the applicants are minorities.

Following up on the notion that minorities needed housing, even if tested underwriting showed they could not afford it and would only get themselves in trouble, the liberals loosened up Fannie and Freddie and told mortgage makers that they would buy those loans from them. Don't worry about the fact that common sense says they're bad loans, just make them and we'll take them. People like Country Wide took full advantage of this and helped set up millions for failure by putting them in unrealistic mortgages. In order to keep the gravy train rolling, they bribed liberals like Chris Dodd and Barak Obama to thwart any reform that Republicans were calling for.

So, Mrs. Greg, you notice how this all comes back to liberals? You don't have to wonder what created the system that caused all the excesses and failures, it was liberals.

Poor bankers... led into penury by the evil government :wink: It had NOTHING to do with their greed and their desire to give credit to more and more people, even people who could not repay their debts lol??!



Point out where I'm wrong, Reader
 
A

Anonymous

Guest
hypocritexposer said:
Can anybody explain to me how you get rich by giving money to those that cannot repay it?

When you take those bad loans that you make- package them in a package of loans- get a rating company to rate them much higher than they are/should be- trade off the loan to an investment firm, keeping no risk to your own lending company- and then take all the closing costs/fees plus servicing fees - and WALLAH- you got legalized theft....

And with many of these bankers/brokers getting commissions and bonus's for the more of this junk they could peddle-it just promotes GREED over ETHICS....
 

Sandhusker

Well-known member
Oldtimer said:
hypocritexposer said:
Can anybody explain to me how you get rich by giving money to those that cannot repay it?

When you take those bad loans that you make- package them in a package of loans- get a rating company to rate them much higher than they are/should be- trade off the loan to an investment firm, keeping no risk to your own lending company- and then take all the closing costs/fees plus servicing fees - and WALLAH- you got legalized theft....

And with many of these bankers/brokers getting commissions and bonus's for the more of this junk they could peddle-it just promotes GREED over ETHICS....

Yep, and when Republicans tried to step in and shut down the hub, the Democrats, led by Chris Dodd with a Country Wide bribe in his pocket, treatened a fillibuster.
 
A

Anonymous

Guest
hypocritexposer said:
And these banks' balance sheets are in what kind of shape now? Where are they getting the money they lost?

These banks and finance/investment institutions buying this junk are the ones you are bailing out now--along with AIG's that "insured" the soundness of these credit trades...I see today where AIG, which was allowed to get too big to fail, is back saying they need hundreds of Billions $ more to pay off all these bad debts and keep from going under- which would take many banks and investment companies/accounts with them....

Like Bernanke said- until we put some regulation back on "these crooks" (my words)- we will not get confidence back on the market or the economy....
 

VanC

Well-known member
Sandhusker said:
Oldtimer said:
hypocritexposer said:
Can anybody explain to me how you get rich by giving money to those that cannot repay it?

When you take those bad loans that you make- package them in a package of loans- get a rating company to rate them much higher than they are/should be- trade off the loan to an investment firm, keeping no risk to your own lending company- and then take all the closing costs/fees plus servicing fees - and WALLAH- you got legalized theft....

And with many of these bankers/brokers getting commissions and bonus's for the more of this junk they could peddle-it just promotes GREED over ETHICS....

Yep, and when Republicans tried to step in and shut down the hub, the Democrats, led by Chris Dodd with a Country Wide bribe in his pocket, treatened a fillibuster.

That's correct, and your post about how it all started with the Community Reinvestment Act was also right on the money. Why is that so hard for some people to grasp?
 
A

Anonymous

Guest
VanC said:
Sandhusker said:
Oldtimer said:
When you take those bad loans that you make- package them in a package of loans- get a rating company to rate them much higher than they are/should be- trade off the loan to an investment firm, keeping no risk to your own lending company- and then take all the closing costs/fees plus servicing fees - and WALLAH- you got legalized theft....

And with many of these bankers/brokers getting commissions and bonus's for the more of this junk they could peddle-it just promotes GREED over ETHICS....

Yep, and when Republicans tried to step in and shut down the hub, the Democrats, led by Chris Dodd with a Country Wide bribe in his pocket, treatened a fillibuster.

That's correct, and your post about how it all started with the Community Reinvestment Act was also right on the money. Why is that so hard for some people to grasp?

You and SH forget that none of these credit swaps and realty fims being lenders/bankers- etc, etc, could occur until the Repub Congress of the late 90's- led by Foreclosure Phil Gramm and Alan Greenspan removed the Glass Stiegel Act, the Gramm-Leach-Bliley Act, and others and passed at midnite in a must pass Omnibus bill, the Commodity Futures Modernization Act of 2000-- all which took away the regulation that was put in back during the Great Depression Days to keep just the type things that are happening today from happening....
 
Top