Caution on foreclosures haunts Obama

| Print |  Email
Must Reads
Monday, August 20, 2012
After inheriting the worst economic downturn since the Great Depression, President Obama poured vast amounts of money into efforts to stabilize the financial system, rescue the auto industry and revive the economy.

But he tried to finesse the cleanup of the housing crash, rejecting unpopular proposals for a broad bailout of homeowners facing foreclosure in favor of a limited aid program — and a bet that a recovering economy would take care of the rest.

During his first two years in office, Mr. Obama and his advisers repeatedly affirmed this carefully calibrated strategy, leaving unspent hundreds of billions of dollars that Congress had allocated to buy mortgage loans, even as millions of people lost their homes and the economic recovery stalled somewhere between crisis and prosperity.

The nation’s painfully slow pace of growth is now the primary threat to Mr. Obama’s bid for a second term, and some economists and political allies say the cautious response to the housing crisis was the administration’s most significant mistake. The bailouts of banks and automakers are now widely regarded as crucial steps in arresting the recession, while the depressed housing market remains a millstone.

Read more in today's New York Times.

 

More Articles

Communications error

News
Friday, January 30, 2015
013015-zidellmattfrench-thumbBY LINDA BAKER | OB EDITOR

How did an errant email to the Zidell family end up fronting a story in the Oregonian this morning?


Read more...

Editor's Letter: Power Play

January-Powerbook 2015
Thursday, December 11, 2014

There’s a fascinating article in the December issue of the Harvard Business Review about a profound power shift taking place in business and society. It’s a long read, but the gist revolves around the tension between “old power” and “new power” as a driver of transformation.


Read more...

Raising the Stakes

February 2015
Monday, January 26, 2015
BY LINDA BAKER

The 2014 Bend Venture Conference set a record for the most cash, investments and prizes awarded at an angel conference in the Pacific Northwest. Investments in the six winning companies exceeded $1 million. The 11th annual conference was hosted by Economic Development of Central Oregon.


Read more...

Which Way to Chinatown?

February 2015
Monday, January 26, 2015
BY AMY MILSHTEIN | PHOTOS BY JASON E. KAPLAN

The Jade International District, already Portland's center of Asian life, is poised for rejuvenation. Where does that leave the westside's historic Chinatown?


Read more...

Legislative Preview: A Shifting Balance

January-Powerbook 2015
Thursday, December 11, 2014
BY APRIL STREETER

Democratic gains pave the way for a revival of environment and labor bills as revenue reform languishes.


Read more...

The Human Factor

February 2015
Monday, January 26, 2015
BY BRIAN LIBBY

Matt French opens up South Waterfront.


Read more...

Ski traffic

News
Tuesday, January 20, 2015
0121-skiway-thumbBY LINDA BAKER | OB EDITOR

A place-based multimodal transportation plan for Mt. Hood is long overdue.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS