A major cause of the housing boom and bust was cheap money. President Bush was a cheap money/weak dollar president and the housing boom and bust was one of the prices we paid for overly low interest rates.
Under President Obama, the U.S. dollar has gotten steadily weaker. Interest rates are near zero.
Rick Perry undoubtedly over-spoke. You should not accuse someone of treachery or treason without having your ducks in a row to show specifically how somebody has met this case. But the Texas governor is right to attack the Federal Reserve, says the WSJ:
The Texas Governor, or one of his advisers, may also have noticed that various economic sages are offering inflation as the solution to America’s debt problem. Harvard economist Kenneth Rogoff has suggested that an annual 4% to 6% rise in the price level over several years would do the trick. Assorted columnists are picking up the theme, and our guess is that the Obama Administration is privately on board. By all means, we need a debate in 2012 over Fed policy.
The U.S. also needs a debate over the Fed’s political independence. In our view, that independence has been compromised over the last 15 years as Messrs. Greenspan and Bernanke allowed themselves to get too close to the White House and Treasury. The Fed’s post-crisis interventions have put the central bank in the middle of decisions about fiscal policy and the allocation of credit. Mr. Bernanke sometimes seems to be a veritable arm of the Treasury, reinforcing its fiscal and regulatory agendas at every opportunity.