Xmas gifts: America has socialized mortgages, free market health care

The preface to Shaky Ground: The Strange Saga of the U.S. Mortgage Giants includes this fascinating section:

The big banks have at least superficially paid back the money the government gave them; General Motors and Chrysler are out of bankruptcy; but Fannie and Freddie are still in conservatorship. Even more significant, most of the mortgage market in this country is now supported by government agencies, more so that it was before the financial crisis. The former governor of the Bank of England, Mervyn King, told me this: “Most countries have socialized health care and a free market for mortgages. You in the United States do exactly the opposite.”

Americans of all political stripes have long supported the idea that residents deserve to own a home. This is reflected in government policy, as Bethany McLean argues, where politicians suggest they want Fannie Mae and Freddie Mac out of the mortgage business yet let them become a more and more integral part of the process.

It would be interesting to know how the money poured into the GSEs might be used elsewhere to support other things Americans like to have.

10 thoughts on “Xmas gifts: America has socialized mortgages, free market health care

  1. Pingback: The middle class finding it difficult to find city housing – what to do? | Legally Sociable

  2. Pingback: Home builders pull support of tax cuts over mortgage interest deduction | Legally Sociable

  3. Pingback: Eight (unlikely and unpopular) policy options for addressing housing issues | Legally Sociable

  4. Pingback: Don’t forget that American residents can collectively help decide what houses mean for Americans | Legally Sociable

  5. Pingback: Understanding homeownership in the United States through comparative data | Legally Sociable

  6. Pingback: What if Americans like the suburbs? | Legally Sociable

  7. Pingback: What could kill the McMansion, SUV, and suburban way of life: $10 a gallon gas | Legally Sociable

  8. Pingback: A lottery for limited affordable housing housing, part one | Legally Sociable

  9. Pingback: Why I’m skeptical housing will become a national political issue | Legally Sociable

  10. Pingback: Production housing in the suburbs and what Americans want out of homes | Legally Sociable

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s