Don’t blame poor for global economic meltdown

Hysteria about the global economic meltdown has given life to a damaging myth about how the U.S. economy got in such woeful shape. Some people are saying that greedy low-income households are to blame for the crisis that brought Wall Street to its knees because they recklessly borrowed more mortgage debt than they could afford.

Not so fast, according to new research by the Center for Community Capital in UNC’s College of Arts and Sciences, cited by Ford Foundation President Luis Ubinas in Forbes Magazine. Given an opportunity to access fair mortgages, most families foreclosed under the burden of irresponsible loan products would still be in their homes, the UNC study shows.

Advertisements

2 Responses to Don’t blame poor for global economic meltdown

  1. Leo Kim says:

    It would be wrong to blame the homeowners. What about the politicians who didn’t watch the lenders and Wall Street? And, what about the Fed who opened the the money supply to
    all comers? What about the CEOs of the Wall Street firms who knowingly pushed their people to make the bad loans?

  2. […] Related research from Roberto Quercia and colleagues at the Center for Community Capital was cited recently in Forbes. […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: