White House Blames Congress for Fannie, Freddie Takeover

With conservatives wondering about the Bush administration's decision to bail out mortgage companies Freddie Mac and Fannie Mae, White House press secretary Dana Perino shifted blame on Congress, "President Bush initiated a call years ago to try to reform this system because he did not want the status quo to continue. Unfortunately, Congress didn't act on that." She added that Bush decided to act now because of Fannie and Freddie's impact on the economy. The NY Times' first sentence notes that while Bush is the "nation's first MBA president," it was Treasury Secretary Henry Paulson who was in charge--a deputy press secretary said Bush wanted Paulson "in the driver's seat." As for the next president, Bloomberg reports that John McCain "may privatize" the institutions while Obama "sees a federal role in housing."

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By Jen Chung in News on September 9, 2008 10:19 AM

Comments [rss]

NannyState

And who was it that lobbied hard for Congress to ease lending restrictions? The very banks and mortgage companies that are now desperately trying to slough off their loan losses onto the shoulders of taxpayers via the new nationalized Freddie Mac and fannie Mae. Why not nationalize the banks too while we're at it?

Future Taliban

"White House Blames Congress for Fannie, Freddie Takeover"

DwiddleDee blames DwiddleDumb. What's the f'ing difference?. Between BOTH retards they ran this country into the ground. Talk about being asleep at the wheel. Anyone who thinks an election will change anything at this stage of affairs is either naive or a moron. Or a naive moron.

Spirit of 76

The NY Times' first sentence notes that while Bush is the "nation's first MBA president,"

Yet more confirmation of what the Times wrote a while back about the real-world usefulness of an MBA being extremely overestimated.

takethecanoli

TK nailed it.

Stupid is as stupid does.

Outter Burrougher

yes, fug, Americans are

fugothamist

Americans aren't stupid, are they?

S.D.

Well, the GOP is running the campaign as if they weren't in charge for so many years...

TK

As I recall, it was the Republican-led congress that pushed through the legislation during the Clinton administration. The Democrats offered up a bill easing initial/capital requirements for borrowers and Fannie/Freddie and the Republicans took to it hook, line and sinker.

Both sides got what they wanted (Dems - home mortgage financing for the poor and minorities; Reps - more money for the bankers and Wall Street). Both sides of the aisle and the Clinton administration patted themselves on the back while the USA took on more debt.

fakenewyorker

so much for the buck stops here

MT

Maybe they should specify which party was in power when congress failed to act. If it was "years ago" my guess it would be a Republican-controlled congress.