Joe Biden's Presidency

[brett05]

Your term "burdensome regulations" is very broad.

Here are some regulations imposed on businesses/corporations/top earners:

https://www.thebalancemoney.com/pres...licies-3305559

First, he raised taxes with the Omnibus Budget Reconciliation Act of 1993, his first budget. The Deficit Reduction Act:

Raised the top income tax rate from 28% to 36% for those earning more than $115,000, and 39.6% for income above $250,000
Increased the corporate income tax from 34% to 36% for corporations with incomes over $10 million
Ended some corporate subsidies,
Taxed Social Security benefits for high-income earners
Created the earned income tax credit for incomes under $30,000
Raised the gas tax by 4.3 cents per gallon
Limited the ability of corporations to claim entertainment tax deductions


So what were you referring to? And after you make your claim, please provide evidence.

You keep asking for something that is an impossibility. That's all on you. I am no longer going to remind you of this fact.

[brett05]

What’s odd about applauding the lack of “burdensome” regulation in the late 90’s is that the lack of such regulation led to the financial collapse of 2007/2008. The problem during those times was not too much government regulation, it was too little.

There was a collapse in 07/08. What was it's origins again? 2002 - Congress forcing Fannie and Freddie to dish out risky loans.

[nyyfan555]

You keep asking for something that is an impossibility. That's all on you. I am no longer going to remind you of this fact.

Translation:

"you proved me wrong so I'm bailing out of the conversation under the guise of you not understanding. I'm doing this to save face and not embarrass myself, although I fully acknowledge there is a high chance I'm still embarrassing myself by using the same lines over and over again".

[nyyfan555]

There was a collapse in 07/08. What was it's origins again? 2002 - Congress forcing Fannie and Freddie to dish out risky loans.

Wrong again:

https://www.thebalancemoney.com/what...crisis-3306176

The 2008 financial crisis was caused by a confluence of issues within the finance industry and the broader economy.

The financial crisis was primarily caused by deregulation in the financial industry. That permitted banks to engage in hedge fund trading with derivatives. Banks then demanded more mortgages to support the profitable sale of these derivatives. They created interest-only loans that became affordable to subprime borrowers.

In 2004, the Federal Reserve raised the fed funds rate just as the interest rates on these new mortgages reset. Housing prices started falling in 2007 as supply outpaced demand. That trapped homeowners who couldn't afford the payments, but couldn't sell their houses either. When the values of the derivatives crumbled, banks stopped lending to each other. That created the financial crisis that led to the Great Recession.

In 1999, the Gramm-Leach-Bliley Act, also known as the Financial Services Modernization Act, repealed the Glass-Steagall Act of 1933.1 The repeal allowed banks to use deposits to invest in derivatives. Bank lobbyists said they needed this change to compete with foreign firms. They promised to only invest in low-risk securities to protect their customers.2

The following year, the Commodity Futures Modernization Act exempted credit default swaps and other derivatives from regulations.3 This federal legislation overruled the state laws that had formerly prohibited this form of gambling. It specifically exempted trading in energy derivatives.

Who wrote and advocated for passage of both bills? Texas Senator Phil Gramm, Chairman of the Senate Committee on Banking, Housing, and Urban Affairs.4 He listened to lobbyists from the energy company Enron.

Senator Gramm's wife, who had formerly held the post of Chairwoman of the Commodities Future Trading Commission, was an Enron board member. Enron was a major contributor to Senator Gramm’s campaigns. Federal Reserve Chairman Alan Greenspan and former Treasury Secretary Larry Summers also lobbied for the bill’s passage.

Enron wanted to engage in derivatives trading using its online futures exchanges. Enron argued that foreign derivatives exchanges were giving overseas firms an unfair competitive advantage.

The Bottom Line

Deregulation in the financial industry was the primary cause of the 2008 financial crash. It allowed speculation on derivatives backed by cheap, wantonly-issued mortgages, available to even those with questionable creditworthiness.

Rising property values and easy mortgages attracted a lot of people to avail of home loans. This created the housing market bubble. When the Fed raised interest rates in 2004, the consequential increase to mortgage payments squeezed home borrowers’ abilities to pay. This burst the bubble in 2007.

Since home loans were intimately tied to hedge funds, derivatives, and credit default swaps, the resounding crash in the housing industry drove the U.S. financial industry to its knees as well. With its global reach, the U.S. banking industry almost pushed most of the world’s financial systems to near collapse as well. To prevent this, the U.S. government was forced to implement enormous bail-out programs for financial institutions previously billed as “too big to fail.”

The 2008 financial crisis has similarities to the 1929 stock market crash. Both involved reckless speculation, loose credit, and too much debt in asset markets, namely, the housing market in 2008 and the stock market in 1929.

Reading really is fun.

[brett05]

Translation:

"you proved me wrong so I'm bailing out of the conversation under the guise of you not understanding. I'm doing this to save face and not embarrass myself, although I fully acknowledge there is a high chance I'm still embarrassing myself by using the same lines over and over again".

Yes that is exactly what your posts mean

[brett05]

Wrong again:

https://www.thebalancemoney.com/what...crisis-3306176

The 2008 financial crisis was caused by a confluence of issues within the finance industry and the broader economy.

The financial crisis was primarily caused by deregulation in the financial industry. That permitted banks to engage in hedge fund trading with derivatives. Banks then demanded more mortgages to support the profitable sale of these derivatives. They created interest-only loans that became affordable to subprime borrowers.

In 2004, the Federal Reserve raised the fed funds rate just as the interest rates on these new mortgages reset. Housing prices started falling in 2007 as supply outpaced demand. That trapped homeowners who couldn't afford the payments, but couldn't sell their houses either. When the values of the derivatives crumbled, banks stopped lending to each other. That created the financial crisis that led to the Great Recession.

In 1999, the Gramm-Leach-Bliley Act, also known as the Financial Services Modernization Act, repealed the Glass-Steagall Act of 1933.1 The repeal allowed banks to use deposits to invest in derivatives. Bank lobbyists said they needed this change to compete with foreign firms. They promised to only invest in low-risk securities to protect their customers.2

The following year, the Commodity Futures Modernization Act exempted credit default swaps and other derivatives from regulations.3 This federal legislation overruled the state laws that had formerly prohibited this form of gambling. It specifically exempted trading in energy derivatives.

Who wrote and advocated for passage of both bills? Texas Senator Phil Gramm, Chairman of the Senate Committee on Banking, Housing, and Urban Affairs.4 He listened to lobbyists from the energy company Enron.

Senator Gramm's wife, who had formerly held the post of Chairwoman of the Commodities Future Trading Commission, was an Enron board member. Enron was a major contributor to Senator Gramm’s campaigns. Federal Reserve Chairman Alan Greenspan and former Treasury Secretary Larry Summers also lobbied for the bill’s passage.

Enron wanted to engage in derivatives trading using its online futures exchanges. Enron argued that foreign derivatives exchanges were giving overseas firms an unfair competitive advantage.

The Bottom Line

Deregulation in the financial industry was the primary cause of the 2008 financial crash. It allowed speculation on derivatives backed by cheap, wantonly-issued mortgages, available to even those with questionable creditworthiness.

Rising property values and easy mortgages attracted a lot of people to avail of home loans. This created the housing market bubble. When the Fed raised interest rates in 2004, the consequential increase to mortgage payments squeezed home borrowers’ abilities to pay. This burst the bubble in 2007.

Since home loans were intimately tied to hedge funds, derivatives, and credit default swaps, the resounding crash in the housing industry drove the U.S. financial industry to its knees as well. With its global reach, the U.S. banking industry almost pushed most of the world’s financial systems to near collapse as well. To prevent this, the U.S. government was forced to implement enormous bail-out programs for financial institutions previously billed as “too big to fail.”

The 2008 financial crisis has similarities to the 1929 stock market crash. Both involved reckless speculation, loose credit, and too much debt in asset markets, namely, the housing market in 2008 and the stock market in 1929.

Reading really is fun.

Correct, I gave the wrong date...1992

https://www.cfr.org/timeline/us-financial-crisis

https://en.wikipedia.org/wiki/Federa...nd_Freddie_Mac
Reading really is fun.

[nyyfan555]

Correct, I gave the wrong date...1992

https://www.cfr.org/timeline/us-financial-crisis

https://en.wikipedia.org/wiki/Federa...nd_Freddie_Mac
Reading really is fun.

Not only did you give the incorrect date, you left out all the de-regulation that lead to the financial crisis.

[dbroncos78087]

517,000 new jobs!

[brett05]

517,000 new jobs!

Still below pre-pandemic
Still raising interest rates

[natepro]

There was a collapse in 07/08. What was it's origins again? 2002 - Congress forcing Fannie and Freddie to dish out risky loans.

Wait, what?

[valade16]

Correct, I gave the wrong date...1992

https://www.cfr.org/timeline/us-financial-crisis

https://en.wikipedia.org/wiki/Federa...nd_Freddie_Mac
Reading really is fun.

You should have. Your own link points to deregulation in 1995-1997, 1999 and 2004 as what made the 1992 Freddie and Fannie May directives risky.

[natepro]

Still below pre-pandemic
Still raising interest rates

Lowest unemployment rate since 1969 is below pre-pandemic?

[nyyfan555]

Lowest unemployment rate since 1969 is below pre-pandemic?

Those pesky facts...

[dbroncos78087]

What a failed state looks like:

https://www.mississippifreepress.org...-efforts-again

[spliff(TONE)]

Yes that is exactly what your posts mean

Incredible usage of the "I know you are but what am I" defense.