Privatizing Fannie Mae, Freddie Mac, and the Federal Home Loan Banks
Subtitle: Why and How
Publisher: AEI Press
Published: September 25, 2004
Language: eng
Format: Paperback
Number of pages: 120
ISBN-13: 9780844741901
Subjects: Credit & credit institutions; Privatization; United States; Federal home loan banks; Business/Economics; Business & Economics; Business / Economics / Finance; Real Estate - Mortgages; USA; Finance; Banks & Banking; Political Science / General; Fannie Mae; Federal Home Loan Mortgage Cor; Government policy; Mortgage loans
Description: "The savings and loan debacle of the late 1980s showed that politically powerful organizations can intimidate regulators and stave off tough regulation. Under these circumstances, privatization - the elimination of government backing - is the only viable way to protect the taxpayers and the economy against the consequences of major financial difficulties at one or more of the government sponsored-enterprises (GSEs). Concerns have also been raised about whether the privatization of Fannie and Freddie would disrupt the residential finance market or raise mortgage rates for home buyers." "Thomas H. Stanton demonstrates that it is possible to cut the ties between the government and the GSEs - and to create a fully competitive private mortgage market - without disrupting the current system of residential mortgage finance. Financial consultant Bert Ely shows that it would be possible to obtain lower mortgage rates than currently offered by Fannie and Freddie, without any government involvement. The book presents a complete legislative proposal to enact these plans, along with a detailed section-by-section analysis of the bill."--Jacket.