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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (55726)	3/24/2008 12:30:06 AM
From: neolib	Read Replies (1) \| Respond to of 543349

I said it was caused in part by loose credit standards, and that government pressure (including but not limited to pressure dealing with loans to minorities) helped lower those credit standards. And what would you hazard as the relative magnitude of government pressure to lower credit standards, vs. good ole private enterprise stampeding to do it themselves and shovel the mortgages unto the unsuspecting while raking in "windfall" profits doing it might have been? You might want to consider the behavior of Goldman's heavy bets against the very business they were greasing as an example of the fact that many who enabled this game were well aware of what they were doing. BTW, I'm not wedded to the notion of regulation as the great cure for all of this. I'd favor extreme transparency, where everyone can look at all financial transactions in more or less real time as a first good step. I know you think this is computationally onerous, but it is not. It would have been useful if everyone good have seen GS's counter bets, and the magnitude of them, not just the eventual results to the bottom line on quarterly reports.