Take a Load off Fannie

by Chris Sturr | September 11, 2008

The history of the Fannie Mae bailout, as narrated by The Band. (Produced by Omid Malekan.)

2 comments

Comments (2)

  1. No mention of Barney Frank, Chris Dodd, the Congressional Black Caucus, and how their relentless efforts to provide 100% financing for low income home buyers created the vast majority of the subprime mortgage mess??? This film does NOT tell the story.

  2. Hi Jim,The video certainly doesn’t tell the whole story, but it most certainly doesn’t tell the story you want it to–because that story isn’t true.Check out these posts (< HREF="http://www.dollarsandsense.org/blog/2008/09/community-reinvestment-act-didnt-do-it.html" REL="nofollow">here<> and < HREF="http://www.dollarsandsense.org/blog/2008/10/more-defense-of-cra.html" REL="nofollow">here<> and < HREF="http://www.dollarsandsense.org/blog/2008/12/its-official-dont-blame-community.html" REL="nofollow">here<>, and there are others) where we and others debunk the “blame the CRA” argument.The gist is that government-sponsored efforts to promote homeownership accounted for few of the subprime loans. Fannie and Freddie didn’t hold *any* until late in the game. Mortgage brokers, far from being forced to make subprime loans, were falling over themselves to do so, because they were profitable (for a while, at least). –Dollars & Sense

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