Don’t Blame the Whole Housing Bubble on CRA
Newly-released memos from the Clinton presidential library reveal a little more about the scope of the Community Reinvestment Act (CRA) activities in the years leading up to the collapse of the housing bubble. For those unfamiliar with the home-loan industry, the Community Revinvestment Act was a 1977 act that “encourages” (with the threat of violence) banks and other lending institutions to make more home loans to low-income, non-white, and Hispanic households, and to reduce “redlining.”
