MichaelSchmichael

The Real Cost of the Agency Guarantee

Privatize gains and socialize losses -- that's American "free market" capitalism and the GSE's are perfect vehicles. Perhaps we can create similar vehicles to do that in the context of other purportedly vital or important public interests -- like education. That way the banks can make big bucks providing financing to support otherwise unsupportable price increases (and debt burdens) until . . . uhh, what, that's already happened??? Maybe then we need a new GSE to bail out the existing GSE's . . . .