federal reserve to rescue us mortgage giants, page-20

Hi Witch,

Using your analogy, transferring 5 BILLION in failing debt from Fannie and Freddie to the Taxpayers and depreciating the currency is not solving the problem. It's moving the deck chairs on a sinking boat.

There simply is no solution. They are screwed and doomed to a much lower standard of living. They could always burn a few Bankers at the stake. At least it would distract the Maddening Mob.

I can't help think of the old nursery rhyme.......

Fannie and Freddie sat on a wall,
Fannie and Freddie had a great fall.
All the Fed's horses and all the Fed's men,
Couldn't put Fannie and Freddie together again.

Most market failures I have seen have come out of left field. This one is coming down a six lane highway with the lights on.