“You are being played for a fool by Barney Frank.”
You seem eager to jump to that conclusion, considering that what I posted had nothing to do with him. That quote was from Bush, pushing one of his minority-pandering programs. He even had some praise for Franklin Raines and Fanny and Freddy:
“Freddie Mae – Fannie Mae and Freddie Mac – I see the heads who are here; I want to thank you all for coming – (laughter) – have committed to provide more money for lenders. They’ve committed to help meet the shortage of capital available for minority home buyers.
Fannie Mae recently announced a $50 million program to develop 600 homes for the Cherokee Nation in Oklahoma. Franklin, I appreciate that commitment. They also announced $12.7 million investment in a condominium project in Harlem. It’s the beginnings of a series of initiatives to help meet the goal of 5.5 million families. Franklin told me at the meeting where we kicked this office, he said, I promise you we will help, and he has, like many others in this room have done.
Freddie Mac recently began 25 initiatives around the country to dismantle barriers and create greater opportunities for homeownership. One of the programs is designed to help deserving families who have bad credit histories to qualify for homeownership loans. Freddie Mac is also working with the Department of Defense to promote construction and financing for housing for men and women in the military.
There’s all kinds of ways that we can work together to meet the goal. Corporate America has a responsibility to work to make America a compassionate place. Corporate America has responded. As an example – only one of many examples – the good folks at Sears and Roebuck have responded by making a five-year, $100 million commitment to making homeownership and home maintenance possible for millions of Americans.”
I won't go so far as to say that your contribution to this thread has nothing to do with the subject of it. But it concerns Frank being an abject liar.
Elements of the Bush Administration (Mankiw, the author of this blog, included) warned about Fannie and Freddie as early as 2001, and the Administration itself warned about Fannie and Freddie shortly thereafter, yet you are focused like a laser beam on what Bush said before 2003.
It's as if I tell you that it's ok to drive 65mph on a particular stretch of road, you crash your car on another stretch, and exclaim "but you said it was ok to drive 65mph!"
Here's another timeline. [YouTube]