by Guest Author Fabius Maximus Summary: Among our most serious problems is the success of well-funded engines of propaganda at manipulating public opinion, making effective public policy reforms almost impossible. Here we examine one example, convincing Americans that the government caused the housing bubble. This is a follow-up to Facts are an obstacle to the …
My solution is to start destroying inventory starting with the vacant REO’s in high unemployment areas until prices stabilize.
Wallison says that the government and Fannie/Freddie were prime causes of the financial crisis. Black says Wallison is defending his partisan past.
John R. Talbott argues that the accumulation of trillions in MBS by the Fed and the GSEs will amount to a gigantic backdoor bailout for the banks.
From 2005, a review of US mortgage history and of international mortgage markets is accompanied by a prescient analysis of risks and benefits of Fannie and Freddie.