Aug 1, 2008

Thomas Donlan on the mortgage mess and political capitalism

Fannie and Freddie and the whole mortgage mess represent capitalism at its worst - the Invisible Hand in the taxpayer's pocket. First, it pays out bonuses and benefits to politically connected big shots. Then, it takes money from some citizens to redress the bad investments of others. It's the classic ‘mixed economy,’ in which rewards are private and risks are socialized.

~ Thomas Donlan, Barron's

No comments: