Freddie Mac & Fannie Mae were the catalyst for our current financial crisis. By buying up risky sub-prime mortgages, Freddie & Fannie encouraged banks to make risky loans to folks who otherwise wouldn’t have received mortgages.
Freddie & Fannie did this because they had the backing of the U.S. Treasury. The executives at Freddie/Fannie knew that if they made a bad move and lost billions in the market, the government would bail them out.
This notion was laughed at a few years ago…
That liberals wish libertarians to go away is, perhaps, not surprising. But the issue is much more serious than even Jonah Goldberg realizes. McCain’s championing of “getting the monied interests out of politics” and Obama’s pledge to eliminate their influence both amount to an attempt to eliminate economic interest groups (and, indeed, interest groups that are in any way allied with economic interests - such as independent free market groups) from politics. But, politics is about interest group influences. If economic interest…
|
|
 |
 
 
|
Loading ...
