Why didn't Bush heed the warning?

Horse head has it exactly right. Blame it on Barney Frank. Even right up to the day before the housing crunch collapsed, Frank said nothing was wrong with Fannie and Freddie. To this day, he still thinks he did nothing wrong. Franks interview with O'Reilly is a classic and should be seen by everyone especially Democrats who want to blame all things bad on Bush. Of course Dodd was also a big player.