Two fronts of your most crucial war

The two fronts of your most crucial war

By Don Hank

We Americans are at war and although we are often bombarded with the idea that our enemy is politicians, the real enemy is ignorance. Thus, each of us must wage this war with all our heart and soul on two fronts. On one front, the target is each other. In the other, it is ourselves. For example, in the case of Don Hank, the targets are:

1—my own ignorance (including biases that interfere with my own objectivity).

2—my neighbors’ ignorance (including biases that interfere with their objectivity).

Each front is equally important. I can’t fight the war on my readers’ ignorance unless I can come to grips with my own ignorance. So my foremost and biggest job is to defeat my own ignorance.

But why does the war on ignorance matter?

Because America – and the rest of the world – cannot get out of this economic and political crisis without knowledge. By that I mean, the conviction that the “economists” and the politicians they control, who got us into this mess, cannot — and don’t want to — get us out of it.

If America had done its homework, combating its own ignorance and ideological prejudices, not one of the scoundrels like Barney Frank who engineered the housing crisis would ever have been elected in the first place.

America cannot regain a degree of freedom by ignoring readable, layperson-accessible analyses by those who have done their homework and know how the crisis started and why, and who in Washington and Wall Street was responsible.

Readers who are still confused about the how, who and why of our life-threatening economic crisis need to catch up quickly before it is too late. The wolf is at the door and we can’t afford to get it wrong again.

As evidenced by their support for bailouts, both Bush and Obama subscribe to Keynesianism to some extent, and America is going broke as a result. Therefore, just voting Republican cannot save us. There are Republicans who get it, but probably just as many who don’t, or worse, will not vote their principles.

I have an acquaintance who teaches economics and believes – or rather believed — in Keynesian economics, or essentially what Reagan called voodoo economics. The cult’s founder John Maynard Keynes once famously said that if the government hired workers to dig a ditch and fill it back up, that would stimulate the economy. That’s how smart he was, and that is how smart Obama is, whom Rush has correctly identified as a “moron, economically” (true, Obama intends to bring down America, but the unemployment rate is too high to cover up or frame as a Bush hangover and that is causing people to trust Republicans more in economic affairs. Obama truly believes that spending more of your money will help. He had not immediately spent that TARP money, hoping to invest it around election time. But the voodoo is not working).

My economist acquaintance would usually try to rebut articles written by conservative / classic liberal economists and published at Laigle’s Forum. One of her main arguments was that the issues were too complex for normal people to grasp, that she had worked for years as a market broker and was an insider so she just knew things that mortals like me could not. In other words, she proffered the same sleight of hand, devoid of clarifying details, resorted to by Bernanke and his cronies in their plea for bailout money. But I always had a counter-rebuttal that she could not respond to, because no amount of insider savoir-faire is a fair substitute for common sense and facts. She no longer rebuts, so she may have gotten awake. After all, the current situation can certainly wake up the most Keynesian among us.

The Keynesians look back at FDR, a Keynesian president, and claim he “got us out of the depression.” In fact, an analysis by UCLA economists Harold L. Cole and Lee E. Ohanian, replete with painstakingly gathered data, shows that FDR’s policies prolonged the depression by 7-8 years. Many other economists agree. The fact that there is still any debate over this at all is a tribute to the hard work of academics who worship FDR as an economic shaman and roundly reject common sense.

So how can America get up to speed on a crisis that threatens our very existence, our money and our jobs?

You need to read sound analyses. It’s hard work, but you’re an American and you know that hard work is why we are great.

I haven’t seen better readable analyses of our economic crisis than the ones by Steph Jasky of FedUpUSA. Steph is one of the few bloggers who do their homework and know whereof they write and speak. Like me, she and her family were personally affected by the housing crash and wanted to know the identity of the monster that ate their investment. After arduous research, she succeeded in identifying that many-headed shape-shifting monster and is still working hard to inform you and me about its ongoing misdeeds.

I strongly recommend you subscribe to Steph’s newsletter and scan her site. Here is the latest column you can’t afford to miss:

http://fedupusa.org/2010/10/05/just-trash-the-dollar-and-its-all-good/

Just trash the dollar and it’s good (this column is full of charts compiled by Wall Street itself)

Chart is the SPX, white line is the dollar by comparison.  That’s where the ramp the last month has come from.  That’s an OVERT currency devaluation – 7%.

And what’s the SPX change?  About 10%.

Oil?  Oh, it’s up 17%.  Hope you like much more expensive gas and…. this winter…. heating oil.

Read more.

Other sites can also be helpful, even some of the ones trying to sell you their services and products. Because they can only sell if they can demonstrate to you, through cogent arguments and analysis, that they know a lot about the economy and keep abreast of economic affairs.

One such site is Taipan Publishing Group, which features, for example, the following vital and informative piece:

http://www.taipanpublishinggroup.com/tpg/taipan-daily/taipan-daily-100610.html

Massive foreclosure errors will collapse the housing market (again)

The worst excesses of the housing market bubble and bust are coming back to haunt us. Now is the time to prepare for another home price collapse, with fresh rounds of “quantitative easing” sure to follow.

It would be hilarious were it not so tragic. Come to think of it, it’s hilarious anyway. The country has not yet paid for the idiotic shenanigans of the late great housing market bubble. The latest debacle virtually ensures that the U.S. housing market will collapse.

“Wait a minute,” you may ask. “Hasn’t the housing market ALREADY collapsed?”

Well, yes. But the collapse isn’t over yet. There is another implosion coming – a crushing leg down that will pulverize all hopes of recovery into talcum powder. And another tidal wave of public outrage will likely come with it… all thanks to our wonderful friends in Washington and on Wall Street.

I wish I were exaggerating here, but I’m not. We have flat-out Disaster coming with a capital “D.” Follow along and you’ll understand why.

To first set the stage, let’s briefly cycle back in time to the glory days of the housing bubble…

Read more.

Friends, the information America needs to pull out of this economic crisis – caused by dangerous politicians from both sides of the aisle that you never should have voted for – is all available for free (although I do recommend you push the Donate button at FedUpUSA if you can afford to).

Need I say more?

Further reading on the economic crisis:

http://laiglesforum.com/subprime-crisis-the-overal-picture/346.htm

http://laiglesforum.com/a-modern-day-lafayette-rallies-the-troops/343.htm

http://laiglesforum.com/french-mainstream-press-confirms-our-assessment-of-the-financial-crisis/339.htm

http://laiglesforum.com/global-elite-mum-on-economic-analysis-in-europe-us/1862.htm

Poll shows one-quarter of world disenchanted with capitalism

BBC survey shows world disenchanted with capitalism

By Don Hank

Soon after last year’s disastrous bank crash, liberals and RINOs were quick to infer, from evidence to which only they seemed to be privy, that the capitalist system was flawed and needed regulation. Even conservatives seemed confused. Oddly, no one could come up with a uniform regulation design that would fix things or prevent such a crash. Something didn’t seem right about their take on the causes.

Not long after that, conservative pundits made an amazing revelation: Starting in the Clinton administration, an old banking law, the Community Reinvestment Act, passed under Carter for the purpose of channeling mortgages to the poor, had been strengthened. As a result, banks had been strong-armed into issuing mortgages to “underserved groups” meaning Hispanics and African Americans. Those that refused were harassed by radical groups like ACORN and/or blacklisted and/or sued by the government. Those that complied were given the highest marks and put into enviable positions from which they could make more money. The shrewdest lenders realized that this was a government-supported racket with which they could enrich themselves at little risk, as long as Fanny and Freddy were willing to back up their seemingly foolhardy lending policies. So they continued the game, and even lenders not subject to the CRA were soon cashing in, realizing that the government actually wanted them to play Russian roulette with public funds. Even when the inevitable crash came, they thought they were protected. Indeed many did get bailouts, but because of the innovative banking practice of bundling, or derivatizing, these mortgages, and then securitizing them – selling them as “securities” like stocks, bonds and mutual funds, the risk was actually multiplied to the point that even the bailouts were no longer a safeguard, because, surprise, even the US government isn’t too big to fail. The banking world on both sides of the pond, moving in lockstep like lemmings, sold and bought such “securities,” many made in the USA but also many homegrown ones, and a global disaster ensued that you are now witnessing, perhaps in person.

I know that many of you are aware of this background of the crash, but there is a whole industry devoted to telling you that this historical fact, authenticated by responsible, sober economists like Thomas Sowell, never happened. This disinformation campaign, supported by the mainstream media and universities, is overwhelming in both its magnitude and its absurdity.

I discovered this firewall of lies and distortions serendipitously while looking for articles on the issue. I had not read or heard anything lately on the causes and had also heard a Keynesian investment advisor on the radio boldly proclaiming that the capitalist system needs regulation to prevent such a crisis from recurring. Over a year ago, Sean Hannity had tried to tackle this issue, but I noticed that his grasp of the facts was a bit slippery. Later, the rest of the pundits also just dropped the ball. In retrospect, it is easy to see why. People are lazy by nature. There are a lot of esoteric concepts and language in this issue and it takes a bit of study. And after all, what’s it matter? We are only talking about your survival (please excuse the sarcasm).

To get to the bottom of this, I typed “cra causes bank crisis” in my search engine and found, compared to the legitimate articles plausibly describing the role of the CRA and government meddling in mortgages, about 20 times more articles either downplaying the role of the CRA and Fanny-Freddy and the strong-arming of banks or actually bold-facedly declaring that the CRA had absolutely nothing to do with the crisis. The gist of each one: capitalism can’t sustain itself without government regulation. We desperately need socialism under a scheme of global governance. Quick, give up your sovereignty and pledge allegiance to the UN before we all die. The truth is that government over-regulation of a toxic kind had threatened the world’s economy and those who were responsible for this outrage were self-righteously preaching to the rest of us that we were somehow the culprits and would now have to submit to their tyranny.

This is the time for conservative pundits to fly into action and defeat this insidious disinformation campaign. It is not new information that is needed, but someone must look at all the rubbish that is being written and start debunking it, because these government induced toxic loans are still ongoing. Right now the FHA has taken over the role of Fanny-Freddy in backing them and is starting to suggest that they too need a bailout. Nothing has changed. The actors are just shifting roles. We are not supposed to pull out of the crisis. It is just going to get worse — with “stimulus” money.

And that will be more evidence that the free market system “needs government control,” quick, before anyone has time to study the issues and recognize what actually hit them.

With the mainstream media and America’s – and Europe’s – professional pseudo-intelligentsia working overtime to show that global capitalism has self-destructed and that the story of the big-bad CRA and of Fanny-Freddy being the fox in the hen house are all part of a vast right-wing conspiracy, it is no wonder that the entire world is tilting to the Left in its thinking on so-called capitalism. As BBC reports (not without a certain unmistakable Schadenfreude), almost a quarter of people surveyed throughout the entire world are now saying that capitalism is fatally flawed.

Yet when you look at these statistics, you see that Americans are among the least deceived. BBC states: “In only two countries, the US and Pakistan, did more than one in five people feel that capitalism works well as it stands.”

I believe this is due to at least 3 phenomena:

1—Americans are smarter than the rest, including the BBC, because they have the commons sense to support the free market,

2–We have pundits like Rush, Savage, Farah, Beck and a whole slew of small but mighty web sites out there, like Laigle’s Forum, unspinning the spin and setting people straight.

But there’s also this I’m afraid:

2—Many Americans haven’t figured out that capitalism is no longer in place here. Many years ago they watched sanguinely as their government propped up a failing Chrysler, naively believing that the government was actually “saving” capitalism and the free market.

What was actually happening was that the stage was being set (BY BOTH PARTIES!) for Obama to come along decades later and deal the free market what was calculated to be its death blow.

There were other steps along the way to what is now being called alternately fascism, corporatism and even communism. Pick your –ism, but don’t call it capitalism, because Adam Smith would not see his ideal embodied in what we call big business in the West today.

Afterword: A reader emailed me that it was good news that 3/4 of the world still believe in capitalism. But if you go to the BBC article linked above, you see that of the 3/4 who still have not given up on capitalism, the majority by far believe the propaganda. They choose the option that capitalism “Has problems that can be addressed through regulation and reform.” A European Christian friend writes that neither capitalism nor communism are good — a conclusion that leaves socialism as the default system. If we lose this one, there will be no powerful conservative in the USA to say “tear down that wall.”

For Christians who think socialism is part of Jesus’ plan, please read the following article:

http://laiglesforum.com/2006/12/11/the-religious-left-in-bible-times-part-1/

One nation under material

One nation under material

By Donald Hank

Whenever I meet someone who identifies himself as a “liberal” or left-winger, I immediately ask them, “What caused the banks to crash?” The invariable answer: “lack of regulation.” When I ask them to elaborate, they say, parroting Tim Geithner, that the problem is “very complex,” implying “you aren’t smart enough to understand.”

The ultimate implication is that free market principles killed the banks.

But the free market has an alibi. It left the country years ago.

Some say free market capitalism started to decline with the creation of the Fed and income tax in 1913. Others trace the decline to the 30s and FDR’s Keynesian policies.

At any rate, the Western economy has long been an unsavory mixture of government and business, which some call corporatism and others call fascism. Indeed, it is essentially the economic system introduced by Mussolini, with the difference that Mussolini did not use it to harm banks or businesses.

Read more.

Bankers in lockstep across the globe — coincidence?

Extrapolate the details in the following article by David Noakes to the bank crisis in the US and you get a plausible explanation for a disaster whose causes so far have not been explained or even investigated.

The author blames deregulation, although that was a secondary cause in the US. In the American media, deregulation is often blamed as well but without even a hint at the supposed mechanisms by which a “lack of regulation” might have operated to bring down the banks, and particularly how this would have happened simultaneously all over the globe. Indeed keen observers outside the elitist system have pointed out plausible causes and plausible mechanisms for our banks’ failures, such as the CRA and Fanny-Freddy and the complete lack of documentation and lack of down payments required by those semi-government Democrat-managed entities for mortgage lending. Laigle’s Forum is one of the few sites that has even attempted to tackle this issue in some depth. We find that rather than just simple deregulation or lack of regulation, it was in fact over-regulation that wrought the havoc. Specifically, Clinton had strengthened the CRA, requiring banks to make $1 trillion in loans to “underserved communities.” The only way to accomplish this was to force them into requiring no documentation of income and no down payment, absolutely suicidal policies. Bush, put up a meek fight, then went right along, urging a Zero Downpayment Initiative at his HUD web site in 2005.

But I have published the following article to show the striking similarity between the behavior of bankers on both our continents.

Knowing the extent of corruption among money managers, the below-described situation in the UK does not seem so far fetched a scenario for this country either.

Is there a clue in here for us? Note that managers of failed institutions here also got bonuses and exorbitant salaries, and none left in shame. No shame was shown on either side of the Atlantic and no one has apologized for bringing down Western finance and threatening the financial security of every citizen of dozens of countries. No accountability was demanded by government. And indeed, a dissident British banker was murdered for protesting the bad policies in place there (see below).

Compare this with the strong arm tactics used in the US when some banks wanted to refuse the bailout money. Wasn’t it really hush money?

Is it really plausible that the bizarre behavior witnessed in US banks would have mirrored the behavior of bankers on the other side of the Atlantic just by accident? How about the bailouts? They happened in concert all over Europe as well, over the protests of the citizenry, especially in Britain. Here, 90% of all calls to the US Congress urged lawmakers to vote against the bailout.

One thing is certain: International elitists in government and finance do not operate independently of each other, they are basically all in agreement, they use their willing media lackeys to overcome the public’s mistrust, and public mistrust of them is at an all-time high everywhere. There is no debate over the “wisdom” of the bailouts, no hint that the payments would be accompanied by any change in policy or regulations. And this despite the whispered accusation that bank failures were due to under-regulation – an accusation that catapulted ultra-elite, ultra-Left, ultra-incompetent Obama to power. Why wouldn’t bailout payments under Obama be predicated then on the passage of new regulations and strict compliance therewith?

Clearly, the public is being led around by their noses by an international group of cynical idealists and elitists who think we are all stupid.

It is a miracle that we have not yet seen massive protests.

But then, our bellies are still full.

Just wait…

Donald Hank

 

Did directors deliberately destroy their own banks?

By David Noakes

The Royal Bank of Scotland (RBS) went from assets of plus £88 billion in 1999 to estimated liabilities of minus £1.3 trillion in 2009 – equal to a year’s income (GDP) for the whole of Great Britain. If Directors with mental disabilities had been appointed, they might have reduced the bank’s value by half. But to utterly destroy it on so stupendous a scale took real knowledge and determination.

It seems clear the wholesale mismanagement and corruption of banks by their directors was not unbelievable incompetence, but criminal. The government huffs and puffs at bonuses and pensions paid as a reward for failure, but then in every case it lets those corrupt payments, totaling billions of pounds, stand without passing legislation to confiscate.

It looks as though these huge bonuses and pensions were intentionally paid to compensate directors precisely for destroying their own banks, and for a job well done.

HSBC quietly possesses an ethical, Christian board. They are well managed, profitable, and took no part in creating this crisis. Standard Chartered Bank’s profits actually went up, even in 2008/9.

But take the case of Abbey National. In July 2004 their risk management officer, Richard Chang, was objecting that the run down of the bank by directors was deliberate (it resulted in the Bank’s ownership being transferred to a European Bank, Santander.)  The HBOS whistleblower alleged the same.

Anonymous documents then arrived at the board with similar suggestions, with additional evidence of sexual impropriety among Directors. Richard denied he had sent them, but was called in for a two and a half hour interrogation by the directors at the hands of Kroll corporate security, during which he was bullied and threatened, and at the end he was found dead five floors below at the bottom of the internal Atrium in Abbey’s London head office in Euston.

The courts, CPS, coroner, FSA, directors and police have closed ranks to prevent a criminal prosecution or investigation. These services all have large numbers of freemasons in their senior structures.

High ranking Freemasonry runs right through this banking crisis. All the failed banks, Northern Rock, Abbey, RBS, Halifax Bank of Scotland (HBOS) had Freemasonry controlling their boards. Gordon Brown is a 33rd degree Scottish Rite Freemason, as was Tony Blair; there are 400,000 of them in Britain.

Brown’s job seems to be to take advantage of the destruction of the banks, by pouring far too much of our economy into those ready made back holes, which will destroy the Pound Sterling.

The crisis was caused by the USA and EU governments deregulating banks in 1999. Massive, self collapsing bubbles predictably formed in every market including housing, stocks, and derivatives. It is deregulation that enabled corrupt boards to wreck their own banks. They now have estimated liabilities of £7.2 trillion or £250,000 per household; they should now go bust; Britain cannot afford to save them.

Freemasonry and Common Purpose are the European Unions’ foot soldiers on the ground in Britain. They know the EU dictatorship cannot be built while there is a strong Britain on the doorstep; we stopped them twice before in 1918 and 1945, and Britain has to be destroyed if the dictatorship is to succeed.

These British traitors get their massive payoffs for handing Britain to the EU on a plate, poverty stricken and stripped of democratic defences.

Many of those won’t realise that the initial deflation of the recession they worked so hard to create will, with the trillions Brown is borrowing for the banks, turn into hyper inflation with super high interest rates, and in two years they could be starving with the rest of us, their gravy trains and bribe money useless, their houses repossessed, as ours will be.

If you wish to avoid this ghastly future, you need to do your part now in talking to people about a General Strike against the EU, our government, Law Lords, and all the senior officials who are so deliberately sabotaging our nation.                                                                 David Noakes. eutruth.org.uk. 07974 437 097

The socialist State: a hotbed of capitalism

The socialist State, a hotbed of capitalism

by Donald Hank

Gerald Celente has chalked up a formidable list of correct forecasts, having predicted all the major market downs for years. He is now predicting an unprecedented economic collapse within the first Obama term.

He is also predicting an imminent tax revolt.

Now perhaps we need to step back and look at the positive side of a down economy:

Nothing less than total collapse will stop people like Barney Frank, one of the chief culprits in the bank crisis, who accused the critics of Fanny Mae and Freddie Mac’s Democrat policies of alarmism. But now that these GSEs have collapsed and gone into receivership, he and his cohorts, like Chris Dodd, still sound morally superior to those who favor the free market. Clearly, those who brought us the crash, as well as voters who bought the myth that conservative policies caused it, need an overdose of reality to back them up against the wall. Democrats and RINOs can lie all they want, but who will restore their portfolios? About $6 trillion has been lost so far.

Celente says the reality overdose is on the way, and here is why I believe him.

We now face a Soviet style state that is taking over ownership of business.

To see how this will end we need only look backward — at the Soviet Union.

Go to WorldNetDaily Exclusive Commentary for more

How the Democrats crashed the banks

How the Democrats crashed the banks. Part I

 

By Ken Brinzer

 
Those who buy into the so politically-convenient disinformation that blames Wall Street greed for our economic woes are likely to overlook the real culprits in the economic plunge story that has taken place from Wall Street to Main Street, coast to coast, and far beyond.  That’s because the real culprits are in the United States Congress, not on Wall Street.  And to be sure, it may be a matter of greed, but it would be of political greed and or myopia.
For example, take a look at the devolution in the Freddie Fannie debacle.  It all began with a reasonable idea that was enacted into law under President Carter in 1977.  Known as the Community Reinvestment Act (CRA), it caused little harm and surely did some good, until it was morphed into something quite different, quite insidious and pernicious during the Clinton years.
In 1995 under the version of the act revised by the Clinton administration, lenders were told that proof of income, source of down payment and credit history of a loan applicant would no longer be required as qualifying criteria.  In addition to this revision of the CRA, the lending community was threatened by Clinton’s Attorney General Janet Reno, who promised to prosecute to the full extent of the law those who violated the 1995 lowered standards for lending.  The die had been cast under Clinton and the situation was such a mess that in 1999, then Clinton Treasury Secretary Lawrence Summers warned that reform of Freddie and Fannie was essential.  His warnings fell on the deaf ears of those at Fannie and Freddie and over in congress who should have pushed for reform following Secretary Summers’ call for it, but instead promulgated the expansion of their powers.
Then during the Bush years, there were 18 further calls for congress to reform Freddie and Fannie and all were ignored.   Most notable among those who issued calls for reform of Freddie and Fannie during the Bush years were Treasury Secretary Snow, then Fed Chairman Alan Greenspan, and even President Bush himself.  All calls for reform were ignored or blocked by those members of congress who had their own agenda and did not hesitate to belittle and demagogue against these legitimate calls for reform.  One such belittlement came from the mouth of Representative Barney Frank who characterized the calls for reform as “inane”; but they weren’t, they were really needed and that became obvious when information surfaced that 5 million home loans had been made to illegal aliens alone, many without income or asset verifications, and all without citizenship papers.
Clearly those in congress had a responsibility to reform the financial nonsense that became public policy under Clinton and went unreformed throughout the Bush years despite abundant calls for reform from both inside and outside of the executive branch.

(to be continued)

Ken Brinzer is 62 years old, and lives with his wife, a high school chemistry teacher, in Penn Hills, PA. The Brinzers have been married 34 years and have 3 adult children.  He is a financial services professional, licensed both as a life insurance agent and a registered representative series 6. He holds a BA degree in Spanish from Rutgers (1968).  He served in the USAF for 4 years 1968-1972 and attained the rank of captain.  He is a practicing Catholic, reads at church, and loves God, Family, and Country and the splendor of truth.

http://mises.org/story/2451

Making Kids Worthless: Social Security’s Contribution to the Fertility Crisis

Daily Article by Oskari Juurikkala | Posted on 1/24/2007

“Kinder haben die Leute immer – People will always have children,” assured Konrad Adenauer, the German Chancellor, in 1957. He was convinced that the future of the brave new pay-as-you-go social security system would not be undermined by demographic changes.

Adenauer was as wrong as ever. Social security schemes around the developed world are facing a major crisis due to greater longevity, declining retirement ages and – lo and behold – below-replacement fertility rates.

What the good statesman did not realize is how the new system would affect the incentives of individuals to work, to save, and to have children. Labor force participation rates among older workers have declined dramatically since the 1960s throughout the Western world. The rules of social security benefits in most countries mean that working just does not pay off. In this way, pay-as-you-go social security schemes contribute to their own bankruptcy.[1]  

Read more here.

Laigle’s Forum featured on Christian Newswire:

http://www.christiannewswire.com/news/405798484.html

Help McCain avert a fatal scandal

Help McCain avert a fatal scandal

 

By Donald Hank

Ladies and Gentlemen, you have been recently treated here at Laigle’s Forum to a well-rounded smorgasbord of information about the causes of this latest financial crash. You have been regaled with information and insights not seen at any other web site, not mentioned in the “conservative” media or, much less, in the mainstream media. And now you will learn about one of the biggest scoundrels of all time, namely, that one of the authors of the biggest financial crisis in US history, has been chosen by John McCain as his new SEC chair. No, this is not going to happen. You are going to stop this insanity and we will tell you how. Keep reading.

First let’s review the time line of our financial crisis:

1-1977, Jimmy Carter proposes and gets a bill called the Community Reinvestment Act (CRA), which calls for more mortgages for minorities. It was pretty harmless at first, so Reagan didn’t bother to challenge it.

2- In 1995, Clinton put the CRA into overdrive, ordering the Treasury Department to rewrite the lending rules, thereby bypassing the Republican congress. The main criterion for getting a loan was race, and many loans required no income and no money down. In other words, bad credit risks got the lion’s share of the loans and still do. Clinton’s HUD secretary helped mightily to create this crisis. We’ll tell you about this guy shortly.

3-Bush protested these practices in his first term, when he was still a Republican, but later caved and increased the required percentage of loans to minorities and pushed for a “zero down-payment initiative.”

Bush now wants to pay for this with $700 billion of hard earned money from you, good hardworking people who do not renege on their loans. (Remember when people with good credit histories were rewarded and deadbeats were punished? We’re going to bring those times back by not agreeing to a bailout of any kind – BTW, gas prices are going down as a result of the crunch.)

ACORN, which the first version of the failed Democrat-authored bailout bill wanted to reward, was the group that agitated and lobbied hardest for the policies that brought down the lending market!  Obama worked hand in hand with ACORN and received huge donations from the associated criminal enterprises Fanny Mae and Freddy Mac.

Here’s where it really gets interesting. Please pay attention:

Andrew Cuomo, whom McCain has picked as his SEC Chairman, was Clinton’s HUD secretary when the new regulations were forcing banks to lend at ridiculous rates and under dangerous confitions, and according to the Village Voice, made “a series of decisions that… gave birth to the present crisis.”

Writes Village Voice correspondent Wayne Barrett:

Andrew Cuomo, the youngest Housing and Urban Development secretary in history, made a series of decisions between 1997 and 2001 that gave birth to the country’s current crisis. He took actions that – in combination with many other factors – helped plunge Fannie and Freddie into the subprime markets without putting in place the means to monitor their increasingly risky investments. He turned the Federal Housing Administration mortgage program into a sweetheart lender with sky-high loan ceilings and no money down, and he legalized what a federal judge has branded “kickbacks” to brokers that have fueled the sale of overpriced and unsupportable loans. Three to four million families are now facing foreclosure, and Cuomo is one of the reasons why.

Did you get that? McCain has picked one of the authors of the present crisis, one of the most heinous scoundrels in American history, to head his Securities and Exchange Commission!

According to a Newsday article, here is what McCain says about Cuomo:

Cuomo would be a good replacement because he is respected and “did a good job” as secretary of Housing and Urban Development in the Democratic Clinton administration, McCain said.”I think he is somebody who could restore some credibility, lend some bipartisanship to this effort,” the senator said on CBS’ “60 Minutes” program.

Has McCain been on another planet for the last few years? Is bringing down American banks “doing a good job”?

Neither the “conservative” press (is there one any more?) nor the liberals have made the embarrassing connection between Cuomo’s pivotal role in creating the financial crisis and the fact that McCain wants this tarnished politician as his SEC chairman. Each side has decided to give you only the news that will help their side get elected. But the trouble with that approach is, it doesn’t put you, the new Ron Reagan, in the position to avert scandals and bad decisions of the kind McCain wants to make. Laigle’s Forum does not subscribe to the philosophy that presentation of news must be tailored to propagandistic agendas. You can’t change what you don’t know about.

So now that you do know, what can you do about this scandalous, potentially fatal situation for the McCain campaign?

Well, we Americans are usually seen by government as those little bugs out there that were made to squash, but that come in handy at election time.

But, Ladies and Gentlemen, you and I know we’re a lot more than that. We are the new Ronald Reagan. Last year, in the spirit of Reagan, we stopped the Amnesty bill dead in its tracks. Yesterday, in the same patriotic spirit, we stopped the bailout. The Bush-McCain-Obama steam roller can’t squash us after all. The Wizard of Oz is not all-powerful.

So what to do next?

Write to the McCain Campaign

http://www.johnmccain.com/Contact/

and then call the campaign HQ at

1-703-418-2008

Tell them McCain had better walk away from Andrew Cuomo fast because Cuomo is at the center of a scandal in the financial crash, was a pivotal player and will mar the campaign with a scandal McCain can’t afford right now when he is already losing. Send them a link to the Village Voice article, tell them this is all over the internet, and then make sure it is (send it to your list with a link to this Laigle’s Forum article)! Tell them McCain can’t rely on a conservative VP pick to lend him credibility. He has to actually talk the talk and walk the walk himself. We’re not buying the wishy-washy weasel words any more. And tell him for gosh sake, stop sounding like illegal immigration is A-ok. It’s not.

Then get in touch with your radio talk show hosts, including Rush (don’t bother with Hannity. He won’t jump on the band wagon until the scandal is too big to contain).

Link:

http://www.villagevoice.com/content/printVersion/541234

John McCain likes to brag about how he made people “famous” for doing things that cost the American people money.

Well, now it is our turn.  Tell his campaign we’ll make John McCain famous if he fails to walk away from this awful choice.

Why even help  the campaign of a guy who seems not to want to be president at times?

There is one very good reason to help McCain: Obama.

 

Ronald Reagan is back and he is you

Ronald Reagan is back, and he is you

 

Friends, conservatives often complain that no one has ever risen to take the place of Ronald Reagan in our government.

But Ronald Reagan is back, and he is you! His spirit has never once left us.

His spirit was alive and well when you stood up last year and opposed the bipartisan amnesty bill that you knew the Gipper wouldn’t approve.

He was here again today in our Congress during the vote that failed to pass a bill that would have made slaves of every one of us and ended free market capitalism forever in the USA.

Fox News said legislators received 999 calls out of 1,000 opposing the bailout. Fox commentators didn’t look too happy about that and the results of today’s vote. I imagine many of them, like Neil Cavuto, are heavily invested in stocks. (Isn’t it interesting that, although almost 100% of us oppose the bailout, Fox News continues to drone on about how important it is for the taxpayer to foot the bills for the crooks in government. Looks like conservatives have broken with their task master).

I realize that the stock market does not like this, but look, I have stock too, and I know that if we show these lazy pandering politicians we won’t let them enslave us, our children will grow up in a better, safer world.

And it won’t happen again!

Donald Hank

 

Letter to Congressman Platts and Sen. Arlen Specter

 

As you know, the current financial crisis originated with the Democratic Party in 1977 when Carter’s Community Reinvestment Act passed. Then Clinton strengthened these provisions by making it mandatory for banks to lend at least $1 trillion in subprime loans. At that point, this ideologically driven effort to provide “affordable” loans began driving up housing prices drastically. But corrupt community organizing agencies like ACORN and La Raza didn’t seem to mind that their constituents now had to pay more for homes they couldn’t afford in the first place. The present administration more than doubled Clinton’s quota, and the HUD web site currently carries a paragraph on Bush’s “zero downpayment initiative.” Conservative sources are lamenting that Bush had repeatedly asked for more oversight during his 2 terms and called for tighter regulations. Yet it looks like the President, in complete agreement with his friends across the aisle, actually was OVER-regulating on the side of wealth sharing (is that the new Republican way?). It might be wise for you to keep away from this malodorous situation by voting against ANY bailout. I checked around Wrightsville and have yet to come across anyone who has an extra $10,000 to fork over to a government that mismanages our money or who believes it is government’s job to own and run businesses Soviet style.

(I followed this up with phone calls)

Thank you.

 

 

 

Letter to the National Association of Realtors

 

NAR email address (attn. Mary Trupo): mtrupo@realtors.org

 

Hello Mary,

I saw this at the NAR web site:

“The National Association of Realtors® supports the ongoing bipartisan efforts to address the current crisis in the financial and secondary markets. While we await further details and will continue to be active in helping to shape the legislation, NAR believes these efforts are imperative to restore market liquidity.”

Unfortunately, I infer from this that your organization is in favor of the current bipartisan efforts to make tax payers responsible for what you know the government caused in the most callous and cynical possible manner.

I say that because I saw an entry at the NAR web site some years back that asked the government for more fiscal responsibility in the management of subprime loans and in regulations requiring banks to issue them.

That tells me that you saw this financial crash coming.

Now that it is here, your response seems chillingly impersonal, almost surreal.

Where is the anger? You saw it coming. Now you are coolly requesting a bipartisan effort to bail out the mortgage banks as if the blame lay with irresponsible borrowers, when it was government-backed lenders and the very politicians you now ask to control the financial market who caused this debacle. There was genuine concern reflected in your letter to the administration, asking for a relaxation of the risky experimental government requirements under the Carter administration’s Community Reinvestment Act (CRA) and the Clinton and Bush administrations’ insistence on forcing banks to issue ever higher-risk loans. It was like a destructive test of a boiler.

You knew that the lending institutions eventually would fail under these policies and you took the initiative to ask them to stop. But now that the disaster is here, you are expecting them to pass the loss on to those of us who pay our bills on time. I understand your fear, but I don’t understand why we the taxpayers, most of whom pay our bills on time, can be held responsible.

I am asking your organization for a stronger condemnation of the failed bipartisan policies that foisted dangerous subprime lending practices on banks and Fanny Mae and Freddy Mac. Tell the media that you, as business people, knew this policy was doomed to failure, had warned the government about this, that the blame goes to both parties, and that you are leery about leaving the fox in charge of the hen house, particularly since the proposed plan threatens the free market like nothing ever has before in American history.

If you are silent now and fail to condemn these failed lending policies and put the blame where it belongs, on both sides of the aisle, then there is no way to avoid a repeat of this bitter experience for you, your clients and every American taxpayer.

Please issue a press release condemning the reckless policies that you watched destroy your industry! And please do not pass this one off on the taxpayer. It will surely come back to haunt you.

Best Regards,

Don Hank,

Editor in Chief

http://laiglesforum.com