http://socio-politics.today.com/2008/09/23/how-the-failing-economy-caused-fannie-mae-and-freddie-mac-to-fail/ Wed, 30 Dec 2009 07:44:38 +0000 http://www.today.com/version-2.3.1 http://socio-politics.today.com/2008/09/23/how-the-failing-economy-caused-fannie-mae-and-freddie-mac-to-fail/#comment-136 threedegrees Wed, 24 Sep 2008 02:21:06 +0000 http://socio-politics.today.com/2008/09/23/how-the-failing-economy-caused-fannie-mae-and-freddie-mac-to-fail/#comment-136 The execs and loan officers employed by FnF knew the risk of leveraging 30/1 with sub-prime loans. They knew this was going to happen, and played it perfectly. They were on the government's short list of "too big to fail", and decided to let it ride. Only in the last 24 hours have we seen a backlash from a Congress and Senate that was supposed to be in the tank for these guys saying, "thanks, but no thanks, to your golden fuckin' parachute". I still think they'll get more or less the bailout they're looking for, they just may have a harder time doing it again. For a few years. Then they'll be right back at it. The execs and loan officers employed by FnF knew the risk of leveraging 30/1 with sub-prime loans. They knew this was going to happen, and played it perfectly. They were on the government’s short list of “too big to fail”, and decided to let it ride. Only in the last 24 hours have we seen a backlash from a Congress and Senate that was supposed to be in the tank for these guys saying, “thanks, but no thanks, to your golden fuckin’ parachute”. I still think they’ll get more or less the bailout they’re looking for, they just may have a harder time doing it again. For a few years. Then they’ll be right back at it.

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