06/23/2008
Of course, the main point of Steve’s article (mentioned below) is that the current recession is largely caused by the Federal Government’s using its Civil Rights muscle to force diversity on lenders.
Peter Brimelow wrote in response to a Boston Fed study on "racism" in mortgage lending that blacks weren’t being discriminated against, they actual had worse credit,[The Hidden Clue, By Peter Brimelow and Leslie Spencer, Forbes, January 4, 1993] It’s a "disparate impact" thing. Banks were perfectly willing to lend to blacks with good credit.
Forcing banks to lend to minorities with bad credit by threatening Civil Rights prosecution is even more damaging to the economy than the FHA/Freddie Mac/Fannie Mae alphabet soup giveaways. At least the the government has to account for those in its budget.
This kind of extorted wealth transfer is what Peter Brimelow called, in another 1993 article quoted by Steve Sailer, "neosocialism":
Neosocialism, however, is not science. What’s going on here is a witch-hunt, conducted by the religious Left and aided by key elements of the civil service. The innocent victims will be the banking system, the savers of America, the economy, and ultimately liberty itself. The craven banking industry cannot be expected to resist. It is time conservatives stopped piously chanting about capital-gains tax cuts and woke up to the fact that their capital is under attack.[Racism At Work?By Peter Brimelow, National Review, April 12, 1993]Of course, no one did wake up, and the current recession is the fruit of that.
This is a content archive of VDARE.com, which Letitia James forced off of the Internet using lawfare.