In the aftermath of the financial crisis, conservative commentators have blamed the Community Reinvestment Act (CRA), low-income people, minorities, and past Democratic administrations for the sub-prime mortgage meltdown:
– Laura Ingraham: “When Bill Clinton decided to tell Robert Rubin to re-write the rules the Community Reinvestment Act and push all of these institutions to lend to minority communities.”
– Neil Cavuto: “I don’t remember a blaring call that said, Frannie and Freddie are a disaster, loaning to minorities and risky folks is a disaster.”
– Gov. Mike Huckabee (R-AR): “It was their harsh regulation under the Community Reinvestment Act that started this ball rolling down the hill.”
Watch a video compilation:
While most economists blame the current crisis on market failure and sparse regulation, conservatives are attempting to elude responsibility by smearing the victims of predatory lending. The Wonk Room has more here.