US financial trouble started in late 90's uner Clinton/Greenspan

Discussion in 'Economics' started by increasenow, Mar 16, 2009.

  1. US financial trouble started in late 90's uner Clinton/Greenspan:
    **soaring tech stocks with no real value
    ...and many other items...this is were it started...
     
  2. I would put the start back in 1983, when Reagan reformed Social Security and began using payroll taxes to mop up excess supply of Treasuries. Essentially, he turned it into a ponzi.

    This in turn enabled driving the federal budget into the realm of fiscal ludicrousness.
     
  3. Wrong, if your looking for the start, and not a catalyst, you need to go back to Reagan. Reaganomics aka Voodoo Economics were the start.
     
  4. http://z.about.com/d/uspolitics/1/0/I/1/debt_percent_gdp.png

    This chart indicates to me that Clinton actually started to cure the American financial problems. Reagan was the one who started them.

    I always understood that Republicans are supposed to be fiscally conservative, when did they switch sides?
     
  5. The "Clinton blip" was an aberration due to his raising income taxes and fortuitously catching the top of the .com bubble. In the big picture of things, inconsequential.

    The RepubliClowns switched sides when they realized our situation was a "no hoper"... "better steal all you can before the mark [US public/sheeple] catches on", sort of thing.
     
  6. logikos

    logikos

    Go back even further, 1997 Community Reinvestment Act, signed by Carter, which encouraged banks to give mortgages to those who shouldn't have one.

    This program was greatly expanded under Clinton.

    Reagan was big on deregulation of the markets, which sounds good, but only works when the players are honest.

    Face it. There is no single person responsible for this. Blame it on both the Democrats and the Republicans, Wall Street, and yes, even Main Street.
     
  7. I would have to say Reagan initiated the process. Then Bush Sr. and Clinton helped grease the wheels.

    Bush Jr was too busy to pay attention to anything. The irony is I would have to say Bush Jr is the least guilty of the last few presidents because he really did not do much except start a BS war and take lots of vacation to pay attention to our own country.
     
  8. skylr33

    skylr33

    The financial crisis was started due to the record number of foreclosures, and banks going under. This led to credit tightening, and the economy going down the toilet. Who's responsible???? The main culprit, BILL CLINTON!!! He is the creator of "sub prime" lending. It was his administration that pressured the banks in the 90's to lower the standards, so basically anyone that could sign their name on a piece of paper could get a mortgage loan, regardless of whether or not their credit was worthy enough to obtain one. Clinton advocated for that guy with the 500 fico score, who made $8.00 an hour, to get that 400k mortgage, all without having to show any sort of documentation to clearly show that they were wayyyyyyyyyyyyy in over their head to qualify for any mortgage, let alone one for 400k.
    Clinton was recently grilled by a Time Magazine reporter as to whether he felt responsible for this financial crisis, by the enactment of his questionable mortgage lending policies in the 90's??? O'l slick Willie got angry with the reporter, and said he didn't feel responsible.
    What type of a response would you except from an ignorant, hillbilly, ex-president?
     
  9. charts

    charts

    ... let's be clear: everything started with the Big Bang! ... obviously when we ignore Who / What caused it ... :)

    ... graphs make sense only when you know to read them ... same with price charts ... :)
     
  10. Take off the tin foil hat. You can blame which ever administration you want, this crisis is not one of subprime mortgages. It is one of mortgage backed securities.

    Does the date April, 28th 2004 mean anything to you?

    That's the date the SEC abolished the 'net capital rule'. Allowing this financial madness to be unleashed and sold around the world.
     
    #10     Mar 16, 2009