Fannie and Freddie and the Lie of ‘Free Enterprise’
Jul 16th, 2008 | By Bill Bonner | Category: Featured, Financial NewsSince the free market didn’t turn out so well, now it’s time for ‘adult supervision,’ says Bill Bonner in The Daily Reckoning.
When Fannie Mae (FNM) and Freddie Mac (FRE) had the wind at their backs they were considered part of the ‘free enterprise’ sector. Their CEOs received pay hikes as the companies laid the groundwork for their own undoing.
Now the mortgage firms’ fortunes have changed the American taxpayer discovers that these were ‘government sponsored enterprises’ all along. They were part of America’s welfare system. And now they’re getting the dig out they always knew would be forthcoming…