Rich's Sake: US Sen. Corker's Fannie/Freddie "Reforms"

First read this: Sen. Corker builds upon GSE reform | HousingWireSen. Corker builds upon GSE reform | HousingWire.

Look, right now, Fannie and Freddie aren't broken. Senator Corker wants to "reform" them so rich contributors and associates, etc., of his will make more money.

Fannie and Freddie are turning a profit for the US government. That's you and me. We own the US government. Those profits are in lieu of more taxes from us. Corker and his ilk want those profits not to benefit all of us together but rather to go into private hands at the general taxpayers' expense or loss. It's that simple.

There's absolutely no good reason for privatizing Fannie or Freddie by way of forcing them to relinquish market share to rich private interests who will not be benefiting the government, our government, the taxpayers, to the same extent.

This is also why Ed DeMarco is a problem. As the Director of the Federal Housing Finance Agency (FHFA), which is the government's conservator for Fannie and Freddie, he's been pushing for fixing what isn't broken. He favors breaking what is now working.

By the way, the fact that Fannie and Freddie are doing so well under the US government just flies in the face of all the claims by libertarian capitalists that the government can't do things as well or better than the private sector. In fact, even in the lead-up to and during the recent crash, the GSE's still did better than the private and would have done much better had they not followed the lead of Wall Street banksters into the whole subprime fiasco.

Now, with all of that said, I'm not saying that Fannie and Freddie are the best way to go. I'm simply speaking in relative terms and pointing out that the ideology of selfishness is at work in Senator Corker's and DeMarco's plans.

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  • Tom Usher

    About Tom Usher

    Employment: 2008 - present, website developer and writer. 2015 - present, insurance broker. Education: Arizona State University, Bachelor of Science in Political Science. City University of Seattle, graduate studies in Public Administration. Volunteerism: 2007 - present, president of the Real Liberal Christian Church and Christian Commons Project.
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