Monday, September 8, 2008

Did Sarah Palin make a gaffe about lending giants Fannie Mae and Freddie Mac?

No. Of course, the poor leftwingers at the Huffington Post are desperate for a Palin gaffe.

Beltway Snark adds:
It seems to me that Sarah Palin knows more about the workings of Freddie and Fannie than Dean Baker, and McClatchy for that matter. You see, Freddie and Fannie are not really private companies, they’re both hybrid private/government owned companies. They carry out business much like a private company (and cook the books like a private company can), but get their lines of credit directly from the US Treasury as opposed to a private bank. And where does the US Treasury get its money you ask? Well, that would be from our tax dollars. When things go south (like now), it’s the taxpayers who would pay the price for it. I would hope an economist would understand that concept.

No comments: