Quincy
2008-10-20 08:12:23
David Wynn –
Your object to the author’s first point ignores the fact that the two largest players in the mortgage space were already directly influenced by Washington, and it was their actions–repackaging subprime debt as investments, cooking their own books, etc–that lead to the lack of transparency you talk about. Putting more banks in the position of Fannie and Freddie is not a good idea.
Also, if you believe that Congress will not try to manipulate banks into directing the money certain ways now that Uncle Sam has the whip, you’re quite honestly living in fantasy land. It WILL happen, especially with the coming Democrat supermajority in both houses.
