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Brown forgets that he has no strong messages & # 39; has delivered

Brown forgets that he has no strong messages & # 39; has delivered

Brian Monteith portraitThe collapse of Lehman Brothers decades ago this weekend has inevitably raised questions about whether we have learned anything from that disastrous period – and have taken sufficient measures to try and prevent it from being repeated.

There was undoubtedly a lot of nonsense at the time, in which politicians of each tribe instinctively hastened to partisan judgments about their opponents and some hoping to explain the end of capitalism.

Too many people had forgotten that with false gestures corrective busts came and that capitalism actually reacted, as always, by exposing underlying weaknesses to economic reality. Unfortunately for some, including many innocent parties, capitalism worked, not failed.

In the United States, the Democrats quickly blamed President George Bush Jr. for tolerating the growth of subprime loans. The critics chose to ignore it. President Bill Clinton encouraged Fannie Mae and Freddy Mac, the major US mortgage lenders, to expand their loan books for political benefit in markets that are most inclined to foreclose. I know this is true, because I saw the press releases bragging about Clinton's decision in the 1990s.

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