Sep
08
I would never claim to be a financial whizzkid or banking expert, but don’t you just think there is something fundamentally wrong when a country the size of America piles all its eggs into the same giant ‘Fanny n Freddie’ basket?
The leviathan mortgage guarantee companies who sound like a vaudeville act have certainly proven to have come up with the joke of the millenia: ‘Let’s advise the banks to give vast amounts of money to people on low incomes, knowing that they can never afford the monthly payments, then let all our investors lose the shirts from their backs too; and then for good measure we’ll get the government to bail us out because we ‘own’ half of the mortgage debt of the USA and they couldn’t let us collapse, could they?’
How much will it cost? A lifetime of misery and despair, but not for Fanny or Freddie.
And the joke is on: - the whole world economy. How did this happen?
