Why is Greenspan telling the truth all of a sudden? He never really avoided it in the past, the press just decided it wasn’t as important as showing the dead bodies of troops and Iraqi civilians in 2005.
Here is what he said back then:
“The strong belief of investors in the implicit government backing of the GSEs does not by itself create problems of safety and soundness for the GSEs but it does create systemic risks for the U.S. financial system as the GSEs become very large,” – Alan Greenspan in 2005.
Even better:
Fannie Mae was deemed “adequately capitalized” as of March 31 by its chief regulator, the Office of Federal Housing Enterprise Oversight (OFHEO).
These idiots even claimed there was a projected surplus. This is similar to Clinton’s surplus.
We told you all of this many times before:
TRN on the housing crisis economic crisis.
