The government was a major player in the policy that allowed the housing bubble to happen. It began during the Clinton years talking about how every American deserved the right to own a home. Bad credit? No money down? Well we're the government- we'll just guarantee all the mortgages...
And then Bernanke dropped interest rates and Bush cut taxes, and then we had madness. Oh, and of course banks with their corporate greed, trying to raise quarterly earnings with no regard for shareholder wealth or possible loan losses.
But the media just likes to blame the big banks. Don't believe everything you see on CNN.
