Socializing Home Ownership

The current stock market crash is yet another demonstration that socialism doesn't work. It is rooted in the long building and recently accelerated attempts by Democrats in Congress to socialize home ownership. They did this by forcing banks to provide subprime mortgages (ACORN, community reinvestment act, anti-redlining), and by transferring the resulting risk onto the taxpayer using Fannie Mae and Freddie Mac's implied government backing (Barney Frank, Dodd, Johnson, Raines, Gorelick, Obama). Banks discovered that Fan/Fred would buy subprimes thus burying the risk and "laundering" the securitized mortgages. The govt. licensed credit rating agencies (S&P, Moody's) cooperated with AAA ratings! Wall street was thus protected from the risk and went on a feeding frenzy of MBS, and derivatives trading. As always happens with socialism, somebody eventually has to pay the piper. That somebody is the taxpayer. This is short term compassion causing long term pain, sort of like feeding the seed corn to a hungry child, thus dooming the entire village, or paying tribute to pirates.

Now, of course, the Obama Democrats try to blame Bush despite the fact that he tried for his entire administration to rein in the excesses of Fan/Fred but was blocked by the Obama Democrats.
http://www.whitehouse.gov/news/releases/2008/09/20080919-15.html
A long list of people saw this coming.
http://online.wsj.com/article/SB121599777668249845.html?mod=article-outset-box

The quickest way to turn this mess into a severe depression would be to raise taxes, restrict free trade, suppress competition, and socialize home ownership and health care. Obama's policies are exactly the way to cause this perfect storm.