Subprime Mortgage Crisis Estimation of the Causes of Subprime Mortgage Crisis.

Almost every one of them wanted to regulate the funds, and no one wanted that more than Dick Fuld, whose face reddened with anger as he asserted, БЂњThese guys are killing us.БЂ«As we left the dinner, Dave McCormick, who served as the main liaison to the G-7 and other countriesБЂ™ finance ministries, told me, БЂњDick Fuld is really worked up.БЂ«I told Dave I wasnБЂ™t surprised. Lehman was in a precarious position. БЂњIf they fail, we are all in deep trouble,БЂ«I said. БЂњMaybe we can figure out how to sell them.БЂ«Congress had recessed for two weeks in the second half of March, and lawmakers got an earful from constituents who were worried about the ongoing housing woes and the weakening economyБЂ”and were in some cases resentful about what they perceived as the government bailout of Wall Street. The House and the Senate pushed ahead with housing legislation, which included a constellation of plans for foreclosure mitigation, affordable housing, and bankruptcy relief. Democrats, led by Chris Dodd and Barney Frank, pushed HOPE for Homeowners, a Federal Housing Administration program to provide guarantees to refinance mortgages for subprime borrowers at risk of losing their homes ...»