I knew you were going to bring this up. Possibly because you have no idea what Fannie and Freddie actually does. Both had very little to do with the economic calamity wrought by the Bush administration. Neither did the CRA. Basically because all it did was to remove the practice of red lining poor neighborhoods. So quite contrary to all the conservative bullshit about this..the CRA actually lead the way to gentrifying many areas in this country. What actually happened was the practice of predatory lending companies like "Quick Loan Funding". Financial Houses like Goldman Sachs began to back subprime loans and bundled them into derivatives. When the shit initially hit the fan..those subprimes were dumped on Fannie and Freddie.
But of course..you wouldn't know anything about any of that. The personal insult just buttresses the stupidity of your argument..here.
Prove it. overwise shut the hell up and make your pt and quit whining it just makes you look weak.
LET'S begin: why do you defend(freddie& fannie mae) failures? It's not secret they were toxic assets as you left nutter like to say it. It was the legislation over several decades that caused this problem. IN short in the 2000's era Majority of the loans were over leveraged... increase above the standard 20 % down payment. Higher leverage loans have a higher probability of failing base on stats. Number don't lie.
I just demostrated to you how econ 101 works but of course you that. CRA was an act or law base on racist claims on redlining. But the gov't got in and place an invisible hand of bullshit and fuk up this standard 20 % down requirement thus creating an over leveraged loan. Overleverage creates higher volitility of failure or less probability of paying the loan of through the life of the loan. Overleverage loan are repeating the same process as in the results of the 1929 crash where every one was borrowing on credit. When the time was to call on the market, the market didn't have the physical cash or back up currency as in gold. We are currently playing the same game. and you want to defend the failure of Freddie/Fannie/countrywide.
in the meantime, geitner is going to italy and forking over billions of taxpayer monies which we don't have...we are broke and economy is flatlining.