Fannie Mae and Freddie Mac Bailout
Well the news is in: first they said they would, then they said they wouldn’t, now it looks certain that the federal government will assume control of beleagured mortgage giants Fannie Mae and Freddie Mac. Secretary Henry Paulson said that the takeover was necessary to prevent the housing meltdown from getting out of control and launching a full-fledged crisis in the nations financial markets. Not to mention that our Chinese masters were enthusiastic about the idea. Bad news for the CEO’s of both corporations, who had each earned over $100million last year and will now be replaced by bureaucrats who verylikely earn a good deal less. Way to go guys.