http://dyn.politico.com/printstory.cfm?uuid=0DD383A1-12DE-4710-8BB4-A0A866C85708 But while this denial of reality might be shocking to some people who only recently started paying attention to Republican politics, itâs not, in fact, a new phenomenon. And itâs taking place wherever Republicans are asserting power. Elizabeth Warren, a leading legal expert who has been facing a fierce GOP onslaught against meager government attempts to protect consumers against predatory financial institutions, said dealing with the Republicans was like âliving in an alternate universe.â Indeed, thatâs what the GOP discourse sounds like now â a basic feature of modern conservatism is denying reality. For example, if you just listened to conservatives, you would think that Wall Street and the reckless actions of big banks had nothing to do with the financial crisis. According to the GOP, the economic collapse was the fault of Fannie Mae and Freddie Mac, which were government-sponsored entities. Though the majority of the really toxic subprime loans were made by banks and mortgage companies, and one big private firm, American International Group, sold the biggest bundle of credit default swaps, the financial industry was not a cause of the crisis, Republicans say. Nope, it was all Fannie and Freddie.