LanceOregon
Moderator
Apparently both were in serious danger of failing tomorrow ( Monday ) after the markets opened.
The US Government is thus taking over responsibility for over $5 Trillion Dollars in Home Mortgages with this action.
The scary thing is that no government spokesman today could even give an estimate of how much money this could end up costing the government. However, the affects that their failures could of had on the economy, and especially, the stock market, were so potentially dangerous, that the Bush administration felt that it had no other choice than for the government to seize control.
There seems to be no light at the end of the tunnel of this current economic downturn. I wonder how this will all play out politically in the Presidential Election, if the economy continues to slide downhill further these next two months??
How bad can the economy be, for the Feds to make one unprecedented move after the other, like they have done so far this year? Is the government not really publicly admitting how bad things really are? Will people blame the Republicans for the current economic situation?
Here are some news reports:
http://www.foxbusiness.com/story/markets/government-seied-fannie-mae-freddie-mac/
http://ap.google.com/article/ALeqM5gPfdSGL82ufTASVrfgCbKslcCYPgD93266BG0
http://latimesblogs.latimes.com/money_co/2008/09/is-it-a-bailout.html
.
The US Government is thus taking over responsibility for over $5 Trillion Dollars in Home Mortgages with this action.
The scary thing is that no government spokesman today could even give an estimate of how much money this could end up costing the government. However, the affects that their failures could of had on the economy, and especially, the stock market, were so potentially dangerous, that the Bush administration felt that it had no other choice than for the government to seize control.
There seems to be no light at the end of the tunnel of this current economic downturn. I wonder how this will all play out politically in the Presidential Election, if the economy continues to slide downhill further these next two months??
How bad can the economy be, for the Feds to make one unprecedented move after the other, like they have done so far this year? Is the government not really publicly admitting how bad things really are? Will people blame the Republicans for the current economic situation?
Here are some news reports:
http://www.foxbusiness.com/story/markets/government-seied-fannie-mae-freddie-mac/
http://ap.google.com/article/ALeqM5gPfdSGL82ufTASVrfgCbKslcCYPgD93266BG0
http://latimesblogs.latimes.com/money_co/2008/09/is-it-a-bailout.html
.