First, watch this video of Barney Frank obstructing regulators and defending Fannie Mae and Freddie Mac. (H/T Verum Serum)
Now look at this Boston Globe article.
When US Representative Barney Frank spoke in a packed hearing room on Capitol Hill seven years ago, he did not imagine that his words would eventually haunt a reelection bid.
The issue that day in 2003 was whether mortgage backers Fannie Mae and Freddie Mac were fiscally strong. Frank declared with his trademark confidence that they were, accusing critics and regulators of exaggerating threats to Fannie’s and Freddie’s financial integrity. And, the Massachusetts Democrat maintained, “even if there were problems, the federal government doesn’t bail them out.’’
Now, it’s clear he was wrong on both points — and that his words have become a political liability as he fights a determined challenger to win a 16th term representing the Fourth Congressional District. Fannie and Freddie collapsed in 2008, forcing the federal government to buy $150 billion worth of stock in the enterprises and $1.36 trillion worth of mortgage-backed securities.
Frank, in his most detailed explanation to date about his actions, said in an interview he missed the warning signs because he was wearing ideological blinders. He said he had worried that Republican lawmakers and the Bush administration were going after Fannie and Freddie for their own ideological reasons and would curtail the lenders’ mission of providing affordable housing.
“I was late in seeing it, no question,’’ Frank said about the lenders’ descent into insolvency.
Republican Sean Bielat, who is trying to unseat Frank, has been hammering away at him with a website titled “Retire Barney’’ that features clips of Frank at the 2003 hearing and elsewhere. During debates this week, he called Frank “one of the leaders of the economic disaster’’ because he supported Fannie and Freddie when they were taking the risks that led to their collapse.
You can watch Barney Frank debate Sean Bielat. Bielat is 35 years old, while Frank is 70 years old and looks sleepy.
I think Barney Frank is the most responsible for the recession
Here he is in 2005 claiming that fears of a housing bubble are unfounded.
Here’s the timeline showing who wanted to regulate Fannie and Freddie, and who blocked regulation.
Here’s video from a hearing showing Democrats opposing regulations:
That’s right – Republicans wanted to regulate Fannie Mae and Freddie Mac, and Democrats said Fannie Mae and Freddie Mac are “doing a tremendous job”.
Fannie Mae and Freddie Mac had paid the Democrats off handsomely during multiple election cycles, but I’m sure that the Democrats’ opposition to regulations had nothing to do with those political contributions.
Here’s Barney Frank endorsing Obamacare’s public option as a way to reach single-payer health care.