Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : All Clowns Must Be Destroyed -- Ignore unavailable to you. Want to Upgrade?

To: pater tenebrarum who wrote (32983)	5/15/2000 1:47:00 PM
From: Ilaine	Read Replies (1) \| Respond to of 42523

Maybe so, but the S&L's were federally guaranteed, and so were the Mexican "Brady bonds." If Fannie May, etc., are not federally guaranteed, I doubt Congress would have the political will to bail them out except to avert financial disaster. The S&L bailout caused a lot of finger-pointing and some people went to jail, remember? McCain's involvement with the "Keating Five" cost him during the presidential campaign.

To: pater tenebrarum who wrote (32983)	5/15/2000 2:08:00 PM
From: Tim McCormick	Read Replies (1) \| Respond to of 42523

Hell, we bailed out the Russian mob.

To: pater tenebrarum who wrote (32983)	5/15/2000 2:29:00 PM
From: KyrosL	Read Replies (1) \| Respond to of 42523

Heinz, my post was a response to a post that claimed that the credit expansion at Fannie and Freddie is no different than an expansion of Federal debt. It clearly is different. Fannie's and Freddie's mortgages are repackaged and sold around the world to investors whose financial health is not very important for the US. Even if the Federal government decides to help out, in case of an extreme financial disaster, the net liability to US tax payers will be far smaller than the liability implied in the quoted article. Finally, we should not forget that the Mexican "bailout" cost nothing to US taxpayers -- in fact, US taxpayers made some money out of it. And a good chuck of the S&L losses WAS federally insured.