… John McCain. John McCain does not speak for me. I have to say that I have been waiting for a politician to decide to tell the American people something that they need to hear and that they do not want to hear. While Gramm’s comments on Americans being whiners is not quite what I was looking for, it is a start.
The mortgage crisis is not a problem caused by Washington. The mortgage crisis is a problem caused by whining. People, Americans whined it was hard to get a mortgage. They felt that almost everyone should be able to get one. They complained to Washington. To prevent Washington from becoming involved in the mortgage industry, the industry attempted to defend itself by lowering its standards.
The mortgage crisis is caused by consumer stupidity. How many people making $45,000 a year can afford a house that is valued at a quarter of a million dollars? Most people should realize that those two figures, even if housing is the only debt you have and who in the US would fall into that category, do not reconcile. But no, the consumer decided to forego any intelligence on his or her own part and agreed with the mortgage originator. The problem then comes that truthfully the consumer cannot afford that high a mortgage.
I am fully behind Phil Gramm. He has a good head on his shoulders. He knows the economy, which he has proven over his years of federal service as first a Democratic Congressman, then as a Republican Congressman and as a Republican Senator. He has a PhD in economics. He has taught economics and he has consulted on economics. I wish it were a politican who was running for office that would grab the third rail and tell us the truth but any politician telling us that we are whining is correct.