Quote:
Originally Posted by pocketkangaroo
In fairness, under Bush there were massive tax cuts and benefits for the wealthy. Everyone was told it would trickle down, create jobs, and so on. Look where we are right now.
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Yes lets recap where we are right now...
Mortgage defaults have caused banks to freeze credit lines so they can horde what cash they have to protect their businesses from failing.
The mortgages are in default because Americans have irresponsibly over extended themselves on credit.
The mortgages existed in the first place due to low interest rates(set by the Fed) and lower acceptance thresholds(set by banks and brokers).
Seems to me we have several guilty parties and not a single one of them are the "wealthy".
1. Lower to middle class Americans buying homes they cant afford.
2. Banks and brokers(who as a whole cant be defined as "the rich") overextended credit.
3. The federal government(specifically the Federal Reserve) lowering interest rates to dangerous levels.
This crisis was not caused by "jobs" or "wealthy" individuals, it was caused by systematic abuses by many levels of the wealth chain.
To simply say "tax cuts for the rich caused this" would be false and simplistic.