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Actually a lot of financial commentators suggest it was due to bill Clinton and repeal of the Glass-Steagall act particularly sections 20 and 32.They included Joseph Stiglitz an Economics Nobel laureate.Not all agree particularly those in banking.
The financial sector in the US went from ~24% of total profits in 1998 to ~ 42% in 2006.Then hit a little bad weather but taking off again.
Rahm Emanuel is not an unbiased commentator and he would say that wouldn't he.
Yesiree. I'm not sure if it is the same as the Glass-Steagall Act, but during Clinton's administration, the US federal government effectively took over the lenders 'Fannie Mae' and Freddy Mac' and in the interests of 'fairness' and 'equality' forced them to lower the lending criteria so 'everyone' could get a mortgage.
Of course that had the predictable (and predicted - to no avail) consequence of massive mortgage defaults and increased the intensity of the subprime mortgage crisis. Doubters have a read. Some may be surprised.
Gee ... Clinton at fault :mrgreen:. Huge. Pity his middle name rather than his first didn't start with a 'W', then a lot of the commentary would be spot on.