Sep
What lead to the Collapse of Fannie Mae and Freddie Mac?
Ed Morissey of Hot Air wrote a very interesting and revealing article detailing what lead to the Collapsing of Fannie and Freddie. It appears that there was a red flag that was raised back in 2003 already, suggesting that Fannie and Freddie accounting system was broken and manipulated. And guess who raised the red flag? George W. Bush…remember…our current president? See below for the quote from Ed’s resource,
The Bush administration today recommended the most significant regulatory overhaul in the housing finance industry since the savings and loan crisis a decade ago.
Under the plan, disclosed at a Congressional hearing today, a new agency would be created within the Treasury Department to assume supervision of Fannie Mae and Freddie Mac, the government-sponsored companies that are the two largest players in the mortgage lending industry.
The recommendation was presented at the Congressional Hearing. Did Congress listen? Nope…they just ignored it and went on…
Among the groups denouncing the proposal today were the National Association of Home Builders and Congressional Democrats who fear that tighter regulation of the companies could sharply reduce their commitment to financing low-income and affordable housing.
”These two entities — Fannie Mae and Freddie Mac — are not facing any kind of financial crisis,” said Representative Barney Frank of Massachusetts, the ranking Democrat on the Financial Services Committee. ”The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing.”
I don’t know about you, but from reading the article, it is apparent to me whose buns should be on the grill! Could Barney’s be it?
Or perhaps we can just close our eyes and ears and tell it to ourselves or to our friends:
Bush Lies!!! Fannie and Freddie Dies!!! OR
Bush is just a dumb cowboy from Texas…what does he know about the economy…Barney knows BEST! Yay Barney!
After doing further research into this Fannie and Freddie mortgage mess, I found another revealing article:
McCain’s attempt to fix Fannie Mae, Freddie Mac in 2005
If this is the case, why’s this one not told all over the media? Is there such thing as liberal media bias?
And guess who are the top 3 recipients of Fannie Mae and Freddie Mac campaign contributions between 1998 and 2008? A simple google search with keywords “who’s the biggest Fannie Mae recipient in senate” brought me to this information on the top 3 recipients of Fannie Mae and Freddie Mac campaign contributions between 1998 and 2008.
There’s plenty of blame to go around…don’t worry, everyone will get their fill. But come on…to say that this meltdown happened SOLELY because of the Bush economy policy is TOO FAR of A STRETCH when such charge is coming from a candidate whose party has opposed more Fannie and Freddie oversights proposed by John McCain in 2006 and is in the top 3 Fannie and Freddie campaign fund recipient during his 2 years tenure in the senate.
Rhetoric brings Excitement, Track Records bring Confidence!
