Bush WH Ignored Mortgage Meltdown Warnings
A brutally damning article about the warnings the Bush administration received and ignored was published this morning by AP. The AP summed up the philosophy of the Bush White House, writing: "The administration's blind eye to the impending crisis is emblematic of its governing philosophy, which trusted market forces and discounted the value of government intervention in the economy. Its belief ironically has ushered in the most massive government intervention since the 1930s."
The Bush administration backed off proposed crackdowns on no-money-down, interest-only mortgages years before the economy collapsed, buckling to pressure from some of the same banks that have now failed. It ignored remarkably prescient warnings that foretold the financial meltdown, according to an Associated Press review of regulatory documents.