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To: papasmurf
In 1968, to remove the activity of Fannie Mae from the annual balance sheet of the federal budget, it was converted into a private corporation.

I don't know of any genuinely private corporations where we taxpayers must subsidize billions of dollars in losses. It is "private" only in the sense that despite being on the hook for losses, we don't get to share in any profits as well. If that doesn't seem right to you, get in line.

The plain truth is that Fannie and Freddie were quasi-public corporations. Over the weekend, the government formally removed the "quasi" part. That is a welcome first step, but only if at the end of the day, after we fix this mess at great cost to the US taxpayer, we don't repeat the mistakes that led to this mess in the first place.

71 posted on 09/08/2008 2:49:09 PM PDT by kesg
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To: kesg

Oh, just wait. Ford, GM, and Chrysler are about to become “quasi” public/government companies.

To the tune of $25 billion. Their lobbyists snuck a clause in the energy bill authorizing Congress to approve this for “energy” improvements so they can meet the new MPG standards.

Now, they are readying to go to Congress for that money.


97 posted on 09/08/2008 3:10:29 PM PDT by papasmurf (I ain't your Daddy's Conservative, OK?)
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