Wasting Time With Alex
Tuesday, June 29, 2010
The gravy train continues
While the political oligarchy in DC are trying real hard to stick it to Wall Street before July 4th session closes, in a nice Kabuki show intended to distract the dumb peasants from their role in the whole debacle have hit a snag, and the MSM does its best to help the demcorats blame republicans for the failure, the real story about how bad things are still to be is about Freddie & Fannie.
For American taxpayers, now on the hook for some $145 billion in housing losses connected to Fannie Mae and Freddie Mac loans, that amount could be just the tip of the iceberg. According to the Congressional Budget Office, the losses could balloon to $400 billion. And if housing prices fall further, some experts caution, the cost to the taxpayer could hit as much as $1 trillion.
That $1 trillion quote will end up to be a low ball end number, I predict. These two government controlled and wholly DNC owned entities are likely sitting on far more than a measly $1 trillion in bad loans. It’s going to cost us a lot more to prop these monsters up. And I had to laugh at this:
Two things are clear: Taxpayers don’t want to foot the bill, and Fannie and Freddie, taken over by the government in 2008 to stanch the financial bloodletting, need a major overhaul.
Emphasis mine. Taken over? Please! Government has always owned these two, even if they pretended that was not the case, damn it. Stop the dumb propaganda already.
If these morons really wanted to put a halt at the problem they would chop up both Freddie & Fannie, get rid of the laws forcing lending to bad risk people, and let the morons that loan money to risky people go belly up. Just like the “Savings & Loans” crisis of the 80s we would see a slew of failure, and then things would get better. Of course that can’t ever happen when the ideological agenda gets in the way. Hey Franks, how is the health of Freddie and Fannie now? You going to step up and admit you called people racist for daring to say these two were behemoths that would because of the idiotic practices pushed cripple our economy some day, and that you were of course wrong? Nah, the MSM will continue to blame Wall Street and evil republicans for ya, so why bother.
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