by Sean Hackbarth
This is a special Fannie Mae/Freddie Mac edition since they’re the big story today:
- The Washington Post gets into the many angles of the rescue and their effects on the economy.
- Barron’s thinks a full-blown nationalization of Fannie Mae and Freddie Mac would be good for the housing market.
- Robert Waldmann offers an interesting hypothetical for Fannie’s or Freddie’s CEOs.
- Peter Wallison is more worried about government-created moral hazard than a collapse of the two firms.
- Michael Mandel takes the cynical pessimists line by thinking Secretary Paulson is plugging the leaks to hold off a massive housing bailout the next President will have to deal with.
- Fannie Mae and Freddie Mac affect global economies because many central banks hold U.S. mortgage-backed securities.
- Arnold Kling sees the rescue as helping the housing bill more easily pass.
- Anarchy Lew Rockwell correctly blames government failure for this mess.