So you say... Yet it beat the Hell out of Communism.
Imagine that. On Sep 9, 6:36 pm, Frank <[EMAIL PROTECTED]> wrote: > The answer is capitalism doesn't work. > > On Sep 10, 10:08 am, Jim Willis <[EMAIL PROTECTED]> > wrote: > > > > > Here’s all you need to know. This is an excrement sandwich and we’re > > all going to have to take a bite. Some of us will be forced to go back > > for seconds. Fannie Mae was foisted upon the American people in 1938 > > thanks to the socialist policies of the new deal, thanks Frankie D. > > Freddie Mac is Fannie Mae’s evil twin. Not that Fannie is as pure as > > the driven snow; quite the opposite. > > Those of you suffering from ADD or ADHT might want to double up on > > your Ritalin and take notes. > > Fannie and Freddie are the largest secondary mortgage buyers in the > > country. They are responsible for 50% of all outstanding mortgages > > nation wide. Here’s how it works. Let’s say you go to your local bank > > for a loan. Most small banks cannot set on your paper for thirty > > years. They don’t have that much liquidity, think cash. So, they > > bundle your loan with several others and sell them to hedge fund > > managers, larger banks or investment houses. Now, these larger > > institutions are buying a lot of bundled loans from all over the > > country. Here’s where Freddie and Fannie come in. They will buy these > > super bundles of mortgages and, “in a bullish housing market” slices > > and dices these bundles and sprinkles them throughout the investment > > community thereby adding liquidity to he mortgage market, think cash. > > What happened? Democrats have been fighting any reform at Freddie or > > Fannie. Both quasi private/public companies are overseen by a house > > committee. Yet, in 2004 President Bush’s SEC, “securities and exchange > > commission” swarmed both companies with federal regulators and found > > they were inflating assets to reach bonus targets for their > > executives. Not surprisingly both companies were infested with Clinton > > cronies cooking the books and setting up enormous golden parachutes > > for themselves. > > Knowing they were to big to fail and having the backing of the federal > > government, “our money” Freddie and Fannie stopped slicing and dicing > > mortgages for sale as and investment mainly because investors knew a > > great deal of that paper was worthless. Still, both companies hyped > > their assets and kept buying. After all, we, as in we the people > > guaranteed they could not fail. > > As the bottom fell out of the housing bubble Freddie and Fannie saw > > their assets plummet. Yet, you have to understand how this incestuous > > relationship works. Most of the money Freddie and Fannie accrued to > > buy these bundled mortgages they borrowed from banks at short term > > rates. Now those notes are due and these companies haven’t the > > liquidity, “think cash” to pay the piper. And, a great deal of that > > paper they are setting on is worthless. > > So, here we are. If Fannie and Freddie can’t meet their debt we’ll > > wake up one Monday morning and see two or three hundred banks fail. It > > will only get worse. The FDIC, “Federal Deposit Insurance Company” is > > insolvent, “think broke”. Then it’s 1929 all over again, yet worse. We > > are no longer an agricultural people for the most part. We have > > urbanized and become technologically dependent. > > What we can do. We don’t have a lot of good choices; between the two > > giants they hold 6 TRILLION dollars in mortgage paper. Our current > > national budget is 3.1 trillion dollars, that’s perspective. Yes, they > > are too big to fail but we can make damn sure this doesn’t happen > > again. John Mcpalin has said he would privatize Freddie Mac and Fannie > > Mae by slicing them up into a lot of smaller companies and let them > > compete with each other without government assurances. As you might > > guess, the investment giants aren’t happy with this. Again, if you’re > > an investment firm, holding risky paper, you can always dump it on > > Fannie or Freddie. That’s why the investment community is the second > > highest contributor to Obama behind the trial lawyers. Obama has > > received contributions from; Goldman Sachs $653, 030, JPMorgan Chase & > > Co $414,760, Citigroup Inc $408,299, UBS AG $389,294, Lehman Brothers > > $361,482 and Morgan Stanley $307,221. > > And yes, he has accepted donations from Freddie and Fannie. > > The answer to this dilemma is as clear as Oprah’s bias against > > conservative women. Anything government touches it destroys. And, > > America has had enough. I don’t know what it’s going to take but I do > > read my e-mails and people are mad as hell. Maybe this is the tipping > > point but just in case I’m buying a new pitchfork and cleaning my > > musket. > > Conservative Springfield 09SEP08- Hide quoted text - > > - Show quoted text - --~--~---------~--~----~------------~-------~--~----~ Thanks for being part of "PoliticalForum" at Google Groups. For options & help see http://groups.google.com/group/PoliticalForum * Visit our other community at http://www.PoliticalForum.com/ * It's active and moderated. Register and vote in our polls. * Read the latest breaking news, and more. -~----------~----~----~----~------~----~------~--~---
