Here's the latest from 1600 Penn. Ave. regarding reform of the evil and seditious financial system in this country.
http://online.wsj.com/article/SB124524649229423271.html
The actual proposal is here:
http://online.wsj.com/public/resources/documents/finregfinal06172009.pdf
(or online at the White House I guess).
I just cruised through it quickly, and I could only find the word "subprime" used to connect to the weathered accusations that "predatory lenders" caused the recent housing problem. No mention of Freddie or Fannie activities promoting securitization of subprime to the detriment of portfolio risk, or the expansion of the housing market in response to political initiatives.
In fact, the proposal includes a couple of paragraphs (no sources cited) that tell us how CRA can't be blamed for subprime, etc. I guess if a lie is repeated often enough, it becomes truth. (And yes, I've looked into who REALLY said that, and I'm not sure I believe the IntraWeb, so I won't cite anyone here.)
Unfortunately, the thrust of this effort is to reign in 25 years of helpful broadening of the banking system by folks who don't really understand how things work. Diversification, geographic and otherwise, is necessary for financial stability. What ISN'T necessary is a Congress and/or administration trying to hand out money based on demographics and not repayment ability.
That's just one person's opinion, of course.
