Why is Congress Ignoring Ginnie Mae?

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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. […]

Reform the Fed by stripping away their purse

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Since the beginning of the sub-prime housing implosion, the Bush Administration has staunchly re-assured us that everything is OK. Indeed, a year ago at the White House President Bush, Treasury Secretary Paulson, Fed Chief Ben Bernanke, and Commerce Secretary  Carlos Guitierrez all reassured us that this housing glitch was no problem and in any case only a minuscule part of […]

Freefall Fed Policies?

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This week the credit markets again seized up culminating in across-the-board sell-offs of mortgage-backed security holding entities. Thornburg Mtg reportedly was forced to liquidate some high quality mortgages at 70 cents on the dollar to meet margin calls.  Soon thereafter Carlyle

Will we learn from the lessons of the past?

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Federal Reserve Chairman Bernanke responded appropriately to again lower the Federal Funds and Discount rates yesterday in an effort to thwart bank failures—creating generous loan spread to boost bank profitability. By again

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