AIG is Left Holding the Government’s Bag
Posted on1. The U.S. government, armed with the Community Reinvestment Act, forces banks to make home loans to people who cannot afford to repay the loans. At the same time … 2. Fannie Mae and Freddie Mac—government-sponsored enterprises (GSEs)—create a credit-scoring formula with a very low qualifying score. They give this formula to banks and say, […]