There is no one sitting in the public or government arena that is serving the interests of the General Public. As shown over and over again, government officials serve the interest of banks, not The People. Exhibit 1 is the National Mortgage Settlement, the proceeds of which are now being used to reward the criminal banking enterprises. Nowhere is this more clear than in Florida…the indictment comes in the form of Senate Bill 1852 which gives Florida Courts shiny new computers and senior judge days….providing that the court clear foreclosure cases.
Larry Summers and Timothy Geithner are clearly not on the same page about that foreclosure crisis they inherited in 2009.
The two former Obama administration officials recently published contradictory accounts of their efforts to overcome the epidemic of home foreclosures that swept the nation. In response to a compelling new study by Atif Mian and Amir Sufi that concludes the government could have catalyzed broad economic benefits by adopting a more aggressive housing debt program, Summers said last week that everyone on the Obama team really wanted to do exactly that.
“We all believed in 2009 what Mian and Sufi have now conclusively demonstrated — that reducing mortgage debt would spur consumer spending,” Summers, the former director of the National Economic Council, wrote in the UK-based Financial Times. “And there was intense frustration with how few homeowners our programmes were reaching, to the point where I convened all the relevant officials from the Treasury, the Housing and Urban Development department and other agencies every month for two years to challenge them to find ways to accelerate the process and to make sure that they were considering all the various schemes academics and others were suggesting. So Mian and Sufi are not wrong in their dissatisfaction.”
Which is very nice. It’s also diametrically opposed to the detailed justification for inaction that former Treasury Secretary Geithner offered in his new book, Stress Test: