“And if we don’t change what led to the crisis, we’ll doom ourselves to repeat it.” “Opposing reform will leave taxpayers on the hook if a crisis like this ever happens again,” With these words Barack Obama has introduced the next problem that requires increased government control in order to solve. He was referring, of course, to the mortgage meltdown that precipitated the economic recession.
Kudos Mr. President. You have chosen the next problem well. Government’s responsibility has already been transferred to the private sector. Dodd is done. Criticism of Barney Frank can be framed as homophobia. Voters don’t know what a GSE is and Franklin Raines is remembered as the Editor in Chief of the New York Times. The word “crisis” plays nicely with the current Problem as well.
Of course Franklin Raines is the should-have-been convicted former head of the Government Sponsored Entity (GSE) known as Fannie Mae. It is interesting to note that the F in the official name stands for Federal, not Fannie. It was Howell Raines at the New York Times, the one who was discredited and dismissed as a consequence of the Jason Blair scandal. The two Raines are related, but only by ideology.
New York Times articles about Franklin’s fraudulent financial finagling.
Obama is major recipient of campaign contributions from FNM
Washington Post reports extensive fraud at Government Sponsored Entity
The Motley Fool publishes a summary of Fannie Mae culprits.