Hensarling Blames Regulation for Great Recession

by Jeff Sovern

House Financial Services Committee Chair Jeb Hensarling is still blaming regulation for the Great Recession. He recently pened an op-ed for the American Banker, Regulation – Not Lack Thereof – Led U.S. into Financial Crisis. In it, he repeats the right wing's frequently-debunked claim that the Community Reinvestment Act caused lenders to make the loans that ultimately soured, despite the fact that most of the lenders making the loans that defaulted were not subject to that statute.   And he blames Fannie and Freddie, even though they were late to the subprime party.  Sigh.

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