Obama didn’t just prevent a meaningful recovery from the 2008 financial crisis. He helped cause the crisis in the first place, by participating in the Democrat effort to force banks to make bad loans based on race:
President Barack Obama was a pioneering contributor to the national subprime real estate bubble, and roughly half of the 186 African-American clients in his landmark 1995 mortgage discrimination lawsuit against Citibank have since gone bankrupt or received foreclosure notices.
As few as 19 of those 186 clients still own homes with clean credit ratings, following a decade in which Obama and other progressives pushed banks to provide mortgages to poor African Americans.
Never mind the economic devastation; as always, the authoritarian do-gooders meant well.
Obama’s lawsuit was one element of a national “anti-redlining” campaign led by Chicago’s progressive groups, who argued that banks unfairly refused to lend money to people living within so-called “redlines” around African-American communities. The campaign was powered by progressives’ moral claim that their expertise could boost home ownership among the United States’ most disadvantaged minority, African-Americans.
Progressive activists’ ambition instead contributed greatly to a housing bubble that burst in 2007, crashed the nation’s economy in 2008, wiped out at least $4 trillion in equity, kept unemployment above 8 percent for four years, and damaged the intended beneficiaries of looser mortgage lending standards.
What’s worse, Obama has learned nothing whatsoever from the catastrophe he helped bring about; he is actually doubling down on the insane moonbat ideology that caused the housing bubble.
In the White House, Obama has continued to intensify regulatory pressure on banks to provide more risky loans to African-Americans and Latinos. He has used lawsuits to fund his allies. And taxpayers are now unwittingly contributing to a re-inflation of housing prices.
I don’t have to tell you how this movie ends. We’ve all seen it before.
On tips from J, JustTheTip, and Bob Roberts.