Comments on: What’s Going to Happen to the Mortgage Twins – Fannie and Freddie http://www.dailyreckoning.com.au/mortgage-twins-fannie-and-freddie/2008/08/22/ An independent perspective on the Australian and global investment markets Sat, 21 Nov 2009 17:27:32 -0600 http://wordpress.org/?v=2.8 hourly 1 By: jack carter http://www.dailyreckoning.com.au/mortgage-twins-fannie-and-freddie/2008/08/22/comment-page-1/#comment-37332 jack carter Mon, 25 Aug 2008 17:35:06 +0000 http://www.dailyreckoning.com.au/?p=3463#comment-37332 What you have not said, and the USA refuses to admit, is that the GSE are political instruments for the control and looting of the body politic. And by the way, the GSE are a bribe to the Wall Street Bankers who needed to both lay-off their mortgages and spin-up the rate of mortgage formation to make more money. Make no mistake this did not just evolve, it was designed and executed with care and the participation of Congress. True, it got out of hand due to the success experienced; but no one foresaw the political joy it accomplished for liberal politicians, and the poor and lazy in USA society. Dare I say it was an unexpected miracle? Or so it seemed. On the other hand,it is a painful view of the convoluted economic-political system that was and is at the heart of the American way of life. It shows the partnership of state and capitalism in its most creative and dangerous form. But now its run its course and been exposed. It is A Fraud on the taxpayers. Can the partnership be repaired? Who knows? However we can say it should not be fixed. Private banking is either adequate for shelter provision, or the Republic is ended. The GSE model is an engine of destruction for democratic government; it is a device for the looting of the working class by the leisure-unproductive class. This is the crack through freedom in the USA will fall. What you have not said, and the USA refuses to admit, is that the GSE are political instruments for the control and looting of the body politic. And by the way, the GSE are a bribe to the Wall Street Bankers who needed to both lay-off their mortgages and spin-up the rate of mortgage formation to make more money. Make no mistake this did not just evolve, it was designed and executed with care and the participation of Congress. True, it got out of hand due to the success experienced; but no one foresaw the political joy it accomplished for liberal politicians, and the poor and lazy in USA society. Dare I say it was an unexpected miracle? Or so it seemed.

On the other hand,it is a painful view of the convoluted economic-political system that was and is at the heart of the American way of life. It shows the partnership of state and capitalism in its most creative and dangerous form. But now its run its course and been exposed. It is A Fraud on the taxpayers.

Can the partnership be repaired? Who knows? However we can say it should not be fixed. Private banking is either adequate for shelter provision, or the Republic is ended. The GSE model is an engine of destruction for democratic government; it is a device for the looting of the working class by the leisure-unproductive class. This is the crack through freedom in the USA will fall.

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