The process of gaining the highest rating for mortgage-backed securities by “shopping”them to the three major rating agencies was mentioned on page 54of the Winter 2009issue of the University o]Colorado Law Re ies，in an article titled “The Law 8c Economics of Subprime Lending.”The quote from Professor Stanley Liebowitz is from page 24of the February 2009issue of The American Sf？ectator，under the headline "The True Origins of This Financial Crisis.“The increase in the ratio of homes sold in California costing less than half a million dollars from 2007to 2008was reported on page 4of State of the California Housing MarHt 2008——2009，published by the California Association of Realtors.The amount of a down payment as a percentage of the sales price of California homes in 2006compared with 2008was reported on page 14of the same report.The decline of zero down payment mortgages in California from 2007to 2008was reported on page 15of the same report.
The declining share of interest-only adjustable rate mortgages in California from 2007to 2008was shown on page 16of the same report.That fixed-rate mortgages rose from 55percent of all mortgages in California in 2005to more than 90percent of the state’s mortgages in 2008was shown on page 61of the same report.Themortgages nationally from 2004to 2007is from page 161of the Financial ServicesFact Boom，2009，published by the Insurance Information Institute.The dramatic decline in the value of subprime mortgages from 2006to 2007is shown on page 19of the report 7’3e State ofthe haircut Housing2008，published by the Joint Center for Housing Studies of Harvard University in 2008.
The declining use of subprime mortgages by various American racial and ethnic groups after 2006is shown on page 61of Ci I Rights and the Mortgage Crisi’s.The increased selectivity of lenders and mortgage insurers in the wake of the housing bust is discussed on pages B1and BE of the January 24，2009issue of the New Yorli Times，under the title “Costs and Tighter Rules Thwart Refinancings.”That half of all banks tightened lending standards on prime mortgages in 2009was discussed on page A4of a story beginning on the front page of the May 5，2009issue of the /Vew York Times，under the headline “Where Housing Crashed Early，Glimmers of Recovery Emerge.”The fact that in May 2009，the personal saving rate rose to 6.9percent，its highest level since December 1993，was noted on page B7of the June 27，2009issue of the 7Vesc York Z’imei，in an article tided “As Incomes Rebound，Savings Hits Highest Rate in 15Years.“That holders of subprime mortgage bonds in Atlanta began dumping foreclosed homes on the market in 2009was discussed on page Cl of the July 9，2009issue of the Wall Street Journal，under the headline “Subprime Resurfaces as Housing-Market Woe.”
The fact that these foreclosed homes were selling for a fraction of the value of their original loan amount is from the same page.The high volume of mortgage loans insured by the Federal Housing Administration （FHA）and the high rate of delinquency of its loans were discussed on page A16of the May 4，2009issue of the Wall Street Journal，under the title “The Next Housing Bust.”The near doubling of the FHA’s loan ceiling in 2008to 719，000，its low down payment requirements，and other risks in its underwriting standards were described on the same page.Continuing government pressures on banks to continue to make risky loans to meet the requirements of the Community Reinvestment Act，even after the financial crisis，are mentioned on pages 172and 173o？lrcliitects ofRuin by Peter Schweizer.Accusations by members of the Senate Banking Committee of greed on Wall Street，and their criticisms of lax regulatory oversight were reportedissue of the Loszlngeles Times in an article tided ”
Economic Crisis：Lawmakers Give Banks a Scolding.“Senator Christopher Dodd’s criticism of the Bush Administration is quoted from page A15of the September 12，2008issue of the Washington Post，under the headline “Where Was Sen.Dodd？”Senator Dodd’s remarks about Alan Greenspan can be found on page 124of the September 17，2007issue o？Fortune，in an article titled “Oh，the People You’ll Blame！”Senator Christopher Dodd’s favorable comments about Fannie Mae and Freddie Mac are from his opening statement from the February 7，2008hearing “Reforming the Regulation of the Government Sponsored Enterprises.”（Senator Dodd’s remarks as prepared were released in a press release by the U.S.Senate Banking Committee.）Republican Senator Robert Bennett of Utah likewise depicted Fannie Mae and Freddie Mac as enterprises that “emerge as the heroes because they’re the only ones with money left."Senator Bennett’s remarks are from page 3of the Washington section of the March 7，2008issue of the zlmerican Banter，under the title “GSE Reform Hearing Turns to Broader Debate Over Bailout.”Details on the costs of the bailout of Fannie Mae and Freddie Mac can be found on page A14of the January 29，2009issue of the Wall Street Journal under the tide “Fan and Fred’s Lunch Tab.”
