For 7 years of Obama’s reign, Democrats have blamed ‘W’ for the economy.
But during the Tuesday night debate, they let the cat out of the bag, admitting the subprime crisis that crashed our economy was caused by their actions.
Magic words? Glass-Steagall.
A law from the ’30s regulated banking, keeping commercial lending and securities ventures separate. Bill Clinton repealed it in ’99, setting the table for crisis since his Attorney General had pressured banks to make bad mortgage loans to minorities, in that they couldn’t require the level of collateral normally associated with such loans.
Unsecured loans of such magnitude created a huge financial risk for banks.
But, after repeal, when banks were allowed into the securities arena, they created shady investment packages that hid risky sub-prime mortgage loans within. Pushing the ‘securities’ off on other financial institutions offset the financial risk, but was akin to Typhoid Mary handing out granola bars at school lunch…all the ‘kids’ got sick.
(In other words…Wall Street crashed.)
At Tuesday’s debate (a little past halfway) O’Malley and Sanders directly connected that crash to the ’99 repeal of the law that would have prevented such disaster.
Now, the Democrat media is trying to stuff the manure back into the cow, but when you have Democrat presidential candidates admitting heretofore unspoken reality…
…that’s a lot of manure.
But just when you thought it couldn’t get any deeper, Hillary Clinton jumps in talking about how income inequality “hasn’t been this bad since the 1920s”…
…then just one sentence later making a totally contradictory comment that “…the economy does better when you have a Democrat in the White House.”
Does she think Americans are so stupid as to believe Obama’s a Republican?
Sure, gush over Hillary…but you lapdog media have a lot of glossing over ahead.