Quote:
Originally Posted by striperman36
from the AP
What had happened?
Some seeds of the current crisis were planted in the late 1990s, when Congress and President Clinton reshaped the financial landscape. They removed Depression-era barriers between commercial banks and investment firms and allowed the creation of financial behemoths where, years later, the risks of underwriting risky subprime mortgages were somewhat hidden.
A chief author of that law was Phil Gramm, then a Republican senator from Texas and until recently one of McCain’s top economic advisers.
McCain voted for a Senate version of the bill but did not vote on the final package. Democratic vice presidential nominee Joe Biden voted against the Senate version but for the final compromise that was signed by Clinton.
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This is probably valid, although I'm sure there's more too it then that.
To be honest I don't hear much responsible economics coming from either side. As one newsmaker put it, it's just too complicated for most people to understand.
-spence