A Grim Scenario

The news about Fannie Mae and Freddie Mac is not good.  The entities were poorly run, and as the glut of foreclosures caused the risk of default by Fannie Mae and Freddie Mac to rattle the markets, the government stepped in.  Now, as foreclosures have continued, the Congressional Budget Office estimates that the total cost to the taxpayers could reach $389 billion.

It is a staggering amount of money.  Where did it go, and what has been done to make sure that this disaster does not happen again?

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s