Fannie Mae Asks for More Aid After Sharp Loss

[Tilted (Premo)]

Fannie Mae Asks for More Aid After Sharp Loss

Fannie Mae, the largest provider of U.S. home mortgage funding, on Thursday reported a $14.8 billion quarterly net loss that it said would force it to go to the U.S. Treasury trough a third time for money to stay in business.

The company noted a "significant uncertainty" of its long-term financial health in reporting its eighth consecutive quarterly loss, which illustrates its struggle to make money in the face of rising defaults and pressure to do more to stabilize the housing market.

Fannie Mae and rival Freddie Mac have become more crucial to the nation's housing system since 2007 as the financial crisis sealed off other sources of loan funding.

The government last September seized the congressionally chartered companies to ensure that they would continue supporting housing while taking stiff losses. The government promised to inject up to $400 billion of capital.

Washington-based Fannie Mae said its regulator requested $10.7 billion from the Treasury to erase a deficit in its net worth, bringing total draws under a senior preferred stock purchase program to $45.9 billion.

Why are humans so incapable of learning from their mistakes?

Fannie Mae should be dissolved, and its assets should be sold off. At this point, it should be completely clear to everyone that the public policy aims that it is supposed to foster are unhealthy for society. It serves no purpose but to foster those same, misguided, short-sighted, politically expedient, but long-term destructive, goals.

[hvp05]

Originally Posted by Tilted

Why are humans so incapable of learning from their mistakes?

As soon as you find the answer I am sure that big know-it-all Larry Gude would appreciate being clued in.

[Larry Gude (Premo)]

Originally Posted by hvp05

As soon as you find the answer I am sure that big know-it-all Larry Gude would appreciate being clued in.

There seems to be some misunderstanding here. As a know it all, I...know it all.



The reason, obviously, that human beings don't learn from our mistakes is because we don't even want to talk about our mistakes.

That is why my quest to learn from GOP mistakes the last 8 years goes on ad nauseum, so that, maybe, we learn from them.

You'll note that no one likes this. At all. They say "We get it! Move on!" I don't think they do. It was tough for me to watch Bush do one thing after another, hand out money at tax time, expand entitlements, go to war, oil, expand government, housing, GM, TARP and so forth and not accept that he wasn't doing a very good job. I voted for him twice.

I wanted to believe he knew what he was doing. People on my side still wanna believe so bad that they're convinced McCain, Mr RINO, would have done a good job. The left is doing the same thing with Obama. They wanna believe they had good judgment in support him. They're wrong and they don't wanna admit it.

Uncomfortable stuff.