Originally Posted by JSmith
I was going from fuzzy memory, the date is 1977 for the act in question. Quoting from Wikipedia:The Community Reinvestment Act (or CRA, Pub.L. 95-128, title VIII, 91 Stat. 1147, 12 U.S.C. § 2901 et seq.) is a United States federal law designed to encourage commercial banks and savings associations to meet the needs of borrowers in all segments of their communities, including low- and moderate-income neighborhoods. Congress passed the Act in 1977 ...
gives you a another prespective, why USA had massive slump last year
This article states as the reasons for the financial problems in US which after near collapse of US banking system in Sept to Oct 08 affected the World economy too, the following:
"There were central bankers who kept interest rates too low...."
Interest rates are EVEN LOWER NOW than they were before, during the so called time that "...central bankers who kept interest rates too low....", so this CANNOT be the reason for near collapse of US economy.
And the other reason often stated by US Media for the near collapse of US economy is that there was a "Housing bubble in US .." or that "Banks were easy in giving loans to people that could not afford it..."
Avg house prices in US at their peak in 2006 were below a pathetic $200 per Sqft, again once you did not get that in their peak avg House prices in US were barely $200/Sqft, that is less than what avg House prices are in Canada and Western Europe today! In fact you have to go to 3rd World countries like Turkey, Bulgaria, to get avg House prices below $200/Sqft and quality of houses in US are incredibly high. And about the reason: "Banks were easy in giving loans to people that could not afford it...", House ownership percentage is Higher in Canada than it is in US, it was in 2006 and even more so today.
So the reasons for the near collapse of US economy in todays Global economy are what our right-wing Media never alludes to as the reasons which in summary are:
1-Our Taxes (money) wasted on one unnecessary War after another, i.e., Iraq war having wasted $2Trillion of our money so far and we are still in this
War 7 years after starting it and EVEN THOUGH Obama/Dems ran under the promise of ending this War they are continuing with it just as Bush/Cheney/Reps and they
even kept the same Sec of Defense as Bush/Cheney/Reps to boot!
2- Our Taxes (money) not invested in our People & Cities as Europeans do with Universal Health care and many other Social services as a result of which
a simple health care need can drive an American family into financial ruin or even bankruptcy while the same would cost a European family ZERO.
After all consider that last year 2 Million Americans filed for bankruptcy due to health care costs while ZERO Europeans filed for bankruptcy due to health care costs last year, because they have Universal Health car. I mean think about it if a simple health care need can cost an American family $20,000 in deductibles and co-pays, assuming they have health insurance, how in the Hek are they going to pay their pathetic $2,000 per month Mortgages.
3- Our Taxes (money) wasted on a Gargantuan Military. Considering that for example we have more than 300,000 troops all over European bases,
pumping like 50Bill Euros per year into European economies, and here is Europe much richer than US as evident by Euro being more valuable than US Dollar,
or European Auto makers doing great while US Auto makers are going bankrupt, etc. AND Europe has NO enemy TODAY that it would need 300,000 troops from
USA to defend from.
Now the question is how it is that USA is such a miserable place that it cannot address the above problems/issues!
The answer is that US Media is 99% right-wing, which means it reports the news for the benefit of Rich & Big Military and not the American middle class.
Disclaimer: This is not views of SOULIISOUL, but excerpt from an article published :-)