by Brian Wolfman
Common Cause has just issued this intriguing report suggesting a link between the severe problems in the subprime lending market and political contributions made by the lending industry to lawmakers. Read it in its entirety, but, for now, I'll tease you with this excerpt from the report's executive summary:
While investing nearly $210 million on Washington lobbying and campaign contributions, the mortgage lending industry for seven years successfully blocked Congress from taking action to restrict lending abuses that saddled economically vulnerable families with home mortgages they could not afford. In 2006 alone, foreclosure filings across the country were up 42 percent compared to 2005—a total of 1.2 million homes in jeopardy, or one in every 92 homes. And foreclosures continue to mount in 2007, with March foreclosure filings up 47 percent compared to the year before.
Common Cause's press release is available here.