As of the fourth quarter of 2008, a mind-blowing 48% of people who have one of those sub-prime adjustable rate mortgage were either behind or in foreclosure. Overall, 12% of Americans with a mortgage of any kind were at least one month behind or in foreclosure.
So who's to blame for the mortgage crisis? There are those who blame the homeowners who bit off more than they could chew. But that's hardly fair. If that were really the case, then what's the role of the bankers and lenders who issued the questionable loans in the first place? Wasn't it their job to evaluate the borrowers and determine whether they were financially capable of handling a loan of several hundred thousand dollars?
And things aren't about to get better any time soon. While the crisis started in fast growing states like Florida, California, and Nevada, it has now spread to other states. That's probably not surprising, with more and more people losing their jobs.
Meanwhile, there is increasing talk of nationalizing the nation's banks. With so many of them in danger of becoming insolvent, it may be the only way to save them. Republican critics, of course, are accusing Obama and the Democrats of leading the nation down the road to socialism.
I personally don't know what the answers are to our critical predicament. But I can look around and see that the world around us is turning into a giant putrid pile of steaming shit surrounded by a virtually impenetrable cloud of flies.
And how did we get to this pathetic state? Well, it was pure unbridled capitalism fed by corporate greed and unhindered by government regulation. So for Republicans to to sit there and defend the very system they helped foster is mind-boggling in its absurdity.
0 thoughtful ramblings:
Post a Comment