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Succinct articles that help us understand the time in which we find ourselves. This is an Adult site and this is a good read. Like a giant scroll across the sky.

Frank n’ Dodd’s personal graft machine Freddie Mac and Fannie Mae – the Devils accounting.

Because no one seems to know how to cut a budget, I thought I would start with the part that threw our markets into a tumble in the first place. Freddie Mac and Fannie Mae were originally government sponsored entities meant to provide backed mortgages in a pool to make affordable housing for the moochers. To add insult to injury, In the 1990′s, the government changed acceptable mark to market accounting practices to disallow “redlining”certain areas.

This prevented the market from using an assessment tool that is needed to value these mortgages. Ergo, the banks had to take on very risky loans which in turn forced them to turn to creative accounting to make the books look green. At a certain point, when you put too much crap on your credit cards, you are upside down.

Anyways, President Bush warned the congress.

So, the idiot Congress back in 2007 decided to absorb these corrupt utopian programs from 1938 and the 1970′s into the Federal Government. This in turn became TARP1 and TARP 2 to replace the bad loans the government forced the banks to take in the first place. Then Frank n’ Dodd made a bill that sucked and really did not help.

Freddie Mac and Fannie Mae just asked for more billions.

The lesson of the story is for every action, there is a reaction and everything Government is a Ponzi scheme from hell.

The failure of Freddie Mac and Fannie Mae – more than $7 trillion worth of bad loans

FANNIE MAE: THE STORY SO FAR

Blame Fannie Mae and Congress For the Credit Mess

Fannie Mae, Freddie Mac And The Credit Crisis Of 2008

Why The Media Ignores The $400 Billion Fannie And Freddie Bailout

Fannie Mae seeks $10.7B in US aid after 2Q loss – Yahoo! Finance

Fannie, Freddie, and the New Red and Blue – Matt Taibbi – Taibblog – True/Slant

Obama’s Fannie and Freddie Amnesia | Cato @ Liberty

Freddie Mac says needs $1.8 billion from taxpayers | Reuters

The Next Catastrophe: Think Fannie Mae and Freddie Mac were a politicized financial disaster? Just wait until pension funds implode. – Reason Magazine

TheHill.com – Republican report puts blame for housing on Fannie, Freddie

Guest essay: Fannie and Freddie mess? Blame the Democrats – Chambersburg Public Opinion

Fanniegate: Gamechanger For The GOP? | Via Meadia

True cost of Fannie/Freddie bailout more than twice Obama administration claim « Hot Air

http://en.wikipedia.org/wiki/Federal_takeover_of_Fannie_Mae_and_Freddie_Mac

Conrad Black weighs in.

08/15/11 – The Supreme Court is on it now.

08/18/11 – City Journal wrote about Clinton’s disastrous policy back in 2000 and Driscoll wrote of it today.

08/30/11 – The Atlantic shows how the government interference created a two tier housing market.

09/02/11 – So the idiot US government forces banks to make risky investments and then sues them over it? I can’t see that. Judge needs to throw that nonsense out and find the US Government (Our Federal Family) liable for ALL damages. I would swear we are living in a banana republic right about now.

Filed under: Destruction, Economy, Update

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