A Quizzical Quote From Barney Frank

Here is a story from The New York Times of October 8 that discusses the situation at the FHA:


What I found particularly interesting in this story was a quote from Barney Frank, the chairman of the House Financial Services Committee:

“I don’t think it’s a bad thing that the bad loans occurred,” he said. “It was an effort to keep prices from falling too fast. That’s a policy.”

My comment on the above quote:


SPX at 1085.74 as this post is written