In 2000 and 2004, then President Bush went to Congress and warned them that Fannie Mae and Freddie Mac would cause the down fall of the US House Market. Yet, no one seems to recall this fact that the Democratic Congress that was in charge of both housed of the US Congress during Bush’s last two years in office did not support Bush’s request.
Rep. Barney Frank, D. Mass. was the lead supporter in Congress for Fannie Mae and Freddie Mac and laughed at Bush when he made his prediction that these organizations would cause the fall of the housing markets in America. Now:
Fannie Mae and Freddie Mac should be abolished rather than reformed as part of the Obama administration's planned overhaul of the government's role in housing finance, Rep. Barney Frank, chairman of the House Financial Services committee, said on Tuesday (Newsmax.com, 18 Aug 2010).
"They should be abolished," Frank said in an interview on Fox Business, when asked whether the mortgage giants should be elements in housing market reform. "They only question is what do you put in their place," Frank said. The Federal Housing Administration should be fully self-financing and Freddie and Fannie should be replaced with a new mechanism to help subsidize housing, Frank said in the interview (Newsmax.com, 18 Aug 2010).
"There is no more hybrid private-public," the Massachusetts Democrat suggested. "If we want to subsidize housing then we could do it upfront and let the budget be clear about that." Fannie Mae and Freddie Mac were government-sponsored enterprises, privately owned companies supported by the government, until the Bush administration took control of the companies in 2008 to save them from collapse (Newsmax.com, 18 Aug 2010).
Clearly, the Liberal Obama News Networks have a short memory and like Frank, they too are comical by continuing to blame Bush for this and countless other failures in the US Economy instead of the Democratic Congress that has been slowly destroying America in every realm including healthcare, economy, our military, etc.
