Bush, McCain Warned of Economic Crisis; Obama Ignored

Be sure to watch this video before YouTube pulls it!





As far back as the Clinton administration, Republicans, particularly John McCain, and later officials of the George W. Bush administration, warned Democrats of an impending housing market problem due to the politicalization of Fannie Mae and Freddie Mac.

Beginning in April 2001, the Bush administration complained that the size of the two quasi-governmental entities, coupled with a troublesome regulatory environment inherited from the Clinton administration (i.e., the subprime loan initiatives rammed through Congress by Clinton and the Congressional Black Caucus), portended a "potential problem" which could lead to "strong repercussions in financial markets" if not immediately addressed.

In 2003, the Bush administration upgraded its warning concerning the two housing giants to the status of "systemic risk," indicating that problems with the two would likely extend beyond the housing market itself and have a detrimental effect upon the entire American economy. That year, Treasury Secretary John Snow was pushing Congress to more actively exercise its regulatory powers over both Fannie Mae and Freddie Mac, asking for a regulatory agency that would focus on "the safety and soundness of their activities."

Democratic Congressman Barney Frank (MA), however, who had already placed one of his homosexual lovers, Herb Moses, in a leadership position at Fannie Mae, oddly enough as Assistant Director of Product Initiatives (a position that had direct oversight of subprime lending programs), indignantly insisted to Snow that "Fannie Mae and Freddie Mac are NOT in a crisis." In fact, Frank insisted that the role of the federal government was to encourage more subprime lending to minority and low-income homebuyers.

Frank said, "The more people... exaggerate the [lack of] safety and soundness, the more people conjure up the possibility of serious financial losses to the Treasury, which I do not see... we see entities [Fannie Mae and Freddie Mac] which are fundamentally sound financially... and even if there were a problem the federal government doesn't bail them out [HUH?!?!?!?, ed.], ... then the less I think we see in terms of affordable housing." Emphasis added.

In 2005, Fed Chairman Alan Greenspan warned, "Enabling these institutions to increase in size - and they will once the crisis in their judgment passes - we are placing the total financial system of the future at a substantial risk." Greenspan specifically tied the potential insolvency of Fannie and Freddie, and consequent meltdown of the financial system, to the lack of a responsible regulatory regime.

John McCain, in a Senate speech in 2006, stated, "For years I have been concerned about the regulatory structure that governs Fannie Mae and Freddie Mac... and the sheer magnitude of these GSEs [Government-Sponsored Entities] and the role that they play in the housing market.... [Fannie Mae and Freddie Mac] need to be reformed without delay."

Once again, the incompetent Marxist social engineering of Democrats has backfired. The housing market crisis that precipitated the wider financial meltdown was wholly the product of the Maoist thinking of Bill Clinton and the Congressional Black Caucus, and was roundly defended by such liberal blunt objects as Barney Frank and Charles Schumer.

Who saw clearly what was happening? Why, of course, those whom the Democrats ignored at the time of their warnings but find the cojones to blame now! George W. Bush, John McCain, Alan Greenspan.... Note, however, that almost as an afterthought, the reporter announces that, on what could have been the most significant legislation on the issue, Obama "did not weigh in."

What are the odds that Obama and his bunkies are going to solve the problem that they were not wise enough to see in the first place, in spite of all the warnings and signs to the contrary?

Not likely.

Barack Obama at Office Depot

"Petty thieves, we hang; great ones, we elect to office."

- Aesop

The current estimated future obligations for the United States in regards to Medicare, Medicaid, and Social Security are $1.25 quadrillion.

The Obama presidency, in less than 100 days, has already spent or proposed in the neighborhood of $10 trillion. Yes, that is $10 thousand billion.

The federal deficit amassed in over 200 years from the American War for Independence in 1776 to the administration of George W. Bush in 2008 was roughly $11 trillion.

The total interest on the U.S. debt is $1.2 billion per day.

Today, Barack Hussein Muhammad bin Obama demanded that his cabinet find a way to save $100 million.

Department of Homeland Security chief Janet Napolitano today indicated that her executive department can save millions of dollars each year by purchasing office supplies in bulk.

"According to [Napolitano], millions of dollars can be saved by making changes in such things as how the department orders office supplies, gets computer software and uses energy."

So the answer for Barack Hussein Muhammad bin Obama's DOUBLING of the federal debt in less than 100 days is to, in the future, purchase paper clips from Sam's Club and Office Depot?

The AP (apparently now fully recovered from campaign-season orgasms) even reports the cuts as making hardly a "dime's worth of difference."

"Cut a latte or two out of your annual budget and you've just done as much belt-tightening as President Barack Obama asked of his Cabinet on Monday.

The thrifty measures Obama ordered for federal agencies are the equivalent of asking a family that spends $60,000 in a year to save $6."

The ship is sinking. Find a lifeboat and stand by it. You won't be waiting long....

Press Conference for Poochie

So the Obama family is trooped out to hold a press conference...?

To present a united front in the face of a plague of worldwide piracy? No.

To assure the American people that families can persevere through the downward spiral of Obama's economic policies? No.

To argue that Iran and North Korea should lay off the nukes, "for the children?" Nothing so mundane as all that.

No, this family press conference is about something REALLY important. This press conference is to introduce the dog. A Portuguese Water Buffalo (did I get that wrong?) named "Bo."

Ewwwwwwww. Look at all that slobbering.

Not from Bo. From the press.

He is such an attention whore.

Not the dog, I mean President Obama.

Financial Fun

1) The initial PROPOSED tab for the governmental bailout of the economy, estimated at $4.6165 trillion (don't you love the four-decimal point specificity? rumor has it that the point-one-six-five trillion was to account for low-income Netflix and lunch money programs....), was a higher total than the total cost of the New Deal, the Louisiana Purchase, the Marshall Plan, the Korean War, the Vietnam War, the War in Iraq, the Savings and Loan Crisis, and every NASA project in history - including research.

2) The eventual ACTUAL tab (actual meaning "the frivolous figure passed in Congressional bills which will be endlessly quoted in soundbytes," which is not to be confused with the ACTUAL ACTUAL tab, meaning "the actual amount of money spent, discoverable only after various programs for low-income Netflix financing and teapot museum-construction have been renewed innumerable times, which will likely approach $20 trillion, but that is another story for another day) for the economic bailout, estimated at $7.76 trillion, is a higher total than the total cost of the New Deal, the Louisiana Purchase, the Marshall Plan, the Korean War, the Vietnam War, the War in Iraq, the Savings and Loan Crisis and every NASA project in history - including research, PLUS the entire cost of the Second World War AND the cost of dry-cleaning Monica Lewinksy's dresses.

3) Susan Collins (RINO - Maine) insisted that the stimulus bill be pared back from $838 billion dollars to a mere $780+ billion. Why? To ensure that Congress and the President were behaving in a "financially responsible" manner. Uh-huh. Shaving off that extra $50 billion sure did help, chickie! I mean, $780 billion is a lot, but $838 billion is SERIOUS money!

4) The Bailout Bill, which was supposed to rescue the homeowners of America, had it merely been applied to mortgages rather than new governmental programs, would have paid off IN THEIR ENTIRETY more than 90% of all outstanding American residential mortgages (http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aGq2B3XeGKok ).

5) The Bailout Bill, which was supposed to rescue the homeowners of America, was followed up by TODAY's announcement by Barack Hussein Muhammad bin Obama that we have a NEW $275 billion (as of today) plan to rescue America's homeowners (no, wait, we are serious this time. really. no joking. stop laughing. i'm serious.).

Hooray! The Bailout Worked!

"Wealth gotten by vanity shall be diminished, but he that gathereth by labor shall increase" (Proverbs 13:11, King James Version).

"Wealth from get-rich-quick schemes quickly disappears; wealth from hard work grows over time" (Proverbs 13:11, New Living Translation).


Yet more evidence that welfare, corporate or otherwise, is a great idea that has a positive economic impact:

From CNBC reports by journalist David Faber --

American Insurance Group, the insurance giant that is 80-percent owned by the US government, is in discussions with the government to secure additional funds so it can keep operating after next Monday, when it will report the largest loss in U.S. corporate history, CNBC has learned.

Sources close to the company said the loss will be near $60 billion due to writedowns on a variety of assets including commercial real estate.

That massive loss is likely to spur downgrades in its insurance and credit ratings that will force AIG to raise collateral that it doesn't have.

In addition, if AIG's book value falls below a certain level, as it seems certain to do, it will trigger default in certain of its debt instruments, say people familiar with the situation.

All of this adds up to a huge headache for the Federal Reserve and Treasury, which have already provided over $150 billion of assistance to AIG.

Full article at http://www.cnbc.com/id/29353282 .

David Faber has been on CNBC asking: "Where did we go wrong? Should we just have done nothing and accepted the pain rather than throwing good money after bad?"

Good question. Or maybe he was making a point. Good point.

Obama: A Lying Liberal of Clintonesque Proportions

Of course, people in the know warned that Barack Hussein Muhammad bin Obama was the most liberal member of the senate when he was running for office. Unfortunately, the folks who voted for him don't understand reality enough to differentiate between "tax and spend" and "rock star," so it really didn't matter.

* After the banks have twice been bailed out, Obama's proposed budget contains nearly $750 billion to bail them out once again (http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aY8vuevw1NKs ).

* Obama is proposing nearly $1 trillion dollars in NEW taxes beginning in 2011, with almost $650 BILLION of that falling on individuals, not the hated "corporations" that liberals aspire to destroy (http://blogs.abcnews.com/politicalpunch/2009/02/obamas-budget-a.html ).

*Obama ADMITS that his budget would cause a spike in the single-year deficit to unheard-of proportions, escalating the deficit nearly $2 trillion dollars to almost $4 trillion dollars (http://www.breitbart.com/article.php?id=D96JCFLG1&show_article=1 ).

* Spending for Fiscal Year 2009 under Obama will be approximately $12,000 for EVERY AMERICAN - not every family - but EVERY SINGLE AMERICAN.

And like all Democrats, Obama, following in the path blazed by convicted perjurer Bill('sAFool) Clinton, is an inveterate liar.

* After "promising" to withdraw troops from Iraq, The Liar now requests almost $76 billion to extend operations in both Iraq and Afghanistan (http://www.bloomberg.com/apps/news?pid=20601087&sid=aN3Z5Oo3eStg&refer=worldwide ).

* After flooding radio airwaves during his presidential campaign stating the absurdity that both he and McCain would equally preserve and protect the Second Amendment rights of Americans, The Liar now threatens a (so-called) "assault weapons ban" - realizing full well that "assault weapons" are not "assault weapons" at all, but rather are "scary looking" (http://abcnews.go.com/Politics/story?id=6960824&page=1 ).

* While admitting that his ridiculous budget proposals will produce increasing deficits for as far as the eye can see, The Liar titles his budget "A NEW ERA OF RESPONSIBILITY" (http://www.whitehouse.gov/omb/assets/fy2010_new_era/A_New_Era_of_Responsibility2.pdf ).

* After promising to shut down the prison at Guantanamo Bay, Cuba, upon his election, The Liar issued an executive order closing it, EXCEPT that it could be kept open for high-value prisoners "temporarily," and EXCEPT that it might be left open indefinitely (http://www.newsmax.com/kessler/obama_guantanamo_bay/2009/01/27/175694.html ).

Hey, you jackasses who voted for this loser. Maybe read a newspaper before voting next time, huh?

Change You Can Believe In

If you spent one million dollars a day, every single day since Jesus Christ was born, you would have spent less money than Barack Hussein Muhammad bin Obama has spent since coming into office one month ago.

http://www.politico.com/news/stories/0209/19055.html