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    The 2008 housing crisis was caused by government allowing poor people to buy homes they couldn’t afford


    Wall Street created the demand for bad mortgages that led to the 2008 crisis

    The roots of the mortgage crisis were in private lending, not lending by government-backed institutions. As Roosevelt Institute fellow Mike Konczal wrote for The Washington Post, “The subprime mortgage boom and the subsequent crash are very much concentrated in the private market, not the public market. … The fly-by-night lending boom, slicing and dicing mortgage bonds, derivatives and CDOs, and all the other shadiness of the mortgage market in the 2000s were Wall Street creations, and they drove all those risky mortgages.”

    The argument that affordable housing policies were to blame for the crisis is broadly discredited. University of California-Irvine law professor wrote for the left-leaning Center for American Progress:

    Did Fannie [Mae] and Freddie [Mac] buy high-risk mortgage-backed securities? Yes. But they did not buy enough of them to be blamed for the mortgage crisis. Highly respected analysts who have looked at these data in much greater detail than Wallison, Pinto, or myself, including the nonpartisan Government Accountability Office, the Harvard Joint Center for Housing Studies, the Financial Crisis Inquiry Commission majority, the Federal Housing Finance Agency, and virtually all academics, have all rejected the Wallison/Pinto argument that federal affordable housing policies were responsible for the proliferation of actual high-risk mortgages over the past decade.