Housing Bailout Almost Done: Taxpayers Prepare To Grab Ankles

Congress is nearing completion of the massive and meddling government solution to government created problems. As Thomas Sowell puts it: "We don't look to arsonists to help put out fires but we do look to politicians to help solve financial crises that they played a major role in creating. "

I haven't read all the details of the bill, but it's clear that taxpayers will be stuck with the check for the private profit of the quasi-socialist, useless and corrupt Fannie Mae and Freddy Mac. No one knows how much that will be so congress just gave them an open ended line of credit. Common sense dictates that these two organizations should have been broken up and completely privatized years ago. But the money and power that the trillions these companies control confers on Washington is too much for the venal denizens of Washington to ever give up.

It also raises the federal debt ceiling by about $800 Billion to $10.6 Trillion.

In addition the bill provides for up to $300 billion for insured loans to bail out "struggling" homeowners, regardless of how irresponsible or fraudulently they behaved in putting themselves into that position in the first place. Many of those paying for this will be citizens who acted more prudently and resisted the lure of quick riches regardless of risk. Is there going to be a proposal of a windfall profits tax on the millions more who made out like bandits during the housing boom? Just asking.

Of course, no massive spending bill would be complete some pork so we have at least $600 million for "affordable housing", a perennial rat hole of corruption which showers money on parasites like ACORN, one of the largest members of the Marxist grievance industry; a group that worked hand in hand with Barack Obama when he was a "community organizer" (see Al Sharpton, Jesse Jackson)

I'll have more as this monstrosity is fleshed out.


Government "help" to business is just as disastrous as government persecution... the only way a government can be of service to national prosperity is by keeping its hands off. Ayn Rand