We have a new estimate on the financial black holes Fannnie Mae and Freddie Mac by the Federal Housing Finance Agency.
Through 2013, Fannie Mae and Freddie Mac will cost between $221 billion and $363 billion.
The Federal Housing Finance Agency (FHFA) today released projections of the financial performance of Fannie Mae and Freddie Mac (the Enterprises) including potential draws under the Preferred Stock Purchase Agreements (PSPAs) with the U.S. Department of the Treasury. To date, the Enterprises have drawn $148 billion from the Treasury Department under the terms of the PSPAs. Under the three scenarios used in the projections, cumulative Enterprise draws range from $221 billion to $363 billion through 2013.
These estimates took dividend payments into account from the preferred stock owned by the government. Without the dividends, the losses are still $142 billion to $259 billion.
According to the report, Fannie & Freddie have already cost $148 billion.
The FHFA estimated losses based on 3 scenarios from Moody's home price projections up to 2013, the worse being an economic double-dip recession.
The above graphs are from the FHFA report on Fannie and Freddie losses. I recommend reading their report, for it's short and sweet, with graphs of all of economic projections and tables of their assumptions for this cost projection. Moody's home price estimates are also graphed in this report.
Their actual conclusion? Oh yeah, Fannie and Freddie are a black money hole, where U.S. taxpayer money goes to outer space (read banksters), no matter what metrics one uses for a scenario.
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Roll back of Health Care Reform = another Lehman Brothers of U
I'd have to say :
Roll back of Health Care Reform = another Lehman Brothers of U.S. economy.
Middle class & housing market collapse & an irrevocable cash under the mattress.
Obamacare
I must say, where did you get that? Off of a cereal box? That's a GOP talking point, empty, meaningless without detail. While the health care legislation is loaded, obviously by the health insurance lobby and other for profit health care corporations, do you believe the GOP would give the U.S. socialized medicine, which is what is really needed to bring down costs?
I mean seriously, do you seriously believe the GOP would do anything but give even more power to insurance companies than they already have?
People are worried about the government takeover of health care, yet fail to notice we have already a corporate take over of health care.
Which would you prefer? A for profit corporation deciding whether you live or die based on your financial statements, or the government deciding that?
I get not trusting the government, but why do people trust corporations, for profit corporations with their lives?
That's what's wrong here. We get corporate lobbyist written bills and no one is happy, except the corporate lobbyists, but instead of getting a real system to lower costs, we get the GOP wanting to make the situation even worse....for oops, one lobbyist didn't like one little amendment in a bill.