Thursday, July 15, 2010
The complexity created by the laws that created and supported Fannie Mae is the root of our current economic crisis. If we followed Canada's example and eliminated all the exceptions which allowed people to get home loans and rates that they normally wouldn't qualify for, we wouldn't have the crisis we are having now. Instead of tackling the root of our financial problems, our government continues to increase the complexity because "helping" us garners them more votes. This in turn creates permutations ripe for abuse which the government can never hope to regulate, but the government continues blindly down the wrong course of trying to keep a lid on this pandora box from the top with their butterfingers. The current financial bill does nothing to prevent further abuse nor a bigger economic crisis in the future. Only by tackling the root of the problem by decreasing the complexity by decreasing the laws to "help" us will we not only decrease opportunities of abuse but also the buildup of unseen money supply problems which will come crashing down on us. This will also decrease the need for regulation which the government has proven over and over of being incompetent at.