Tuesday, November 18, 2014

from timhoward717, TY Link


Initial Cost of Bailout to Taxpayers
FSLIC 1989 $124 Billion
GSE 2008 $187 Billion
Time Before Taxpayers were Repaid
FSLIC 1989 Never
GSE 2008 4 Years
Final Cost to Taxpayer
FSLIC 1989 Over 1/2 Trillion including interest on bonds issued to finance bailout
GSE 2008 $0 In fact the taxpayers have been repaid with interest.
Which system works better to protect the taxpayers? The numbers tell the story.
The GSE system offers more protection to taxpayers than a Federal Insurance Program.
MY TAKE:
Savings and loans vs GSE bailouts
its pretty obvious which worked better. 
After 4 years GSE's are strong and working Great!
After 4 years FSLIC was dead and NO supportive system moving forward other than the GSE's. When the Savings and Loans went belly up FANNIE AND FREDDIE stepped in to save the mortgage market then too. 

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