No Sympathy

Fed Bank Regulatory Powers: The Dog That Didn't Bark?

An economist for the fed just after the dot.com bust predicted the housing bubble to burst in July 2007. He made this prediction in July 2001. They knew!

In attending 20 years of bank reviews, the Bank where I was a director, was never criticized for any mortgage loan we made... only the ones we did not make. The "credit rights" of the customer is incompatible with the "safely and soundness" of banks. Since no one can serve two masters, the wishes of the master in DC who carried the bigger stick was served. When ever their was a conflict between safety and soundness and CRA (Community Reinvestment Act) CRA won. This was not the fault of the cops on the beat, their hands were tied by policy in DC. (read Congress).