Ginne Mae must be dealt with also!

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Wouldn’t you think that in all the hearings before Congress somehow we would hear mention of the Government National Mortgage Association (GNMA), the mortgage behemoth that is a direct obligation of the US Government?  After all GNMA guarantees only moderate income and Sub-prime loans and these are the mortgages with the  highest loan default rates. […]

What’s wrong with the Trickle-Down Bailout?

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Federal Reserve Chairman Bernanke and Treasury Secretary Paulson have proposed what they say is a comprehensive bailout plan that promises to restore the US financial system to health.
A key component of their plan is to overpay for US banking assets with hopes that down the road, time will bail us out when the crisis passes […]

American Branded Capitalism Spurs Financial Bailout

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The “adequately capitalized” Fannie Mae and Freddie Mac were placed in conservator-ship this weekend by the US Treasury. Under the terms of the takeover, the government took a subordinated position behind the mortgage-backed and senior debt holders, received a

The Chaos Theory of Foreign Policy

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At the twilight of the receivership of Fannie Mae and Freddie Mac one can only wonder why the wait. The $5 trillion in mortgages guaranteed by these government sponsored entities consist of many “Liar” (stated income with no verification) or “Ninja” (no income no assets)

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