Fannie Mae. Freddie Mac. Not popular names right now. By 2014, it is expected that both will have cost taxpayers losses in the hundred’s of billions of dollars. That’s the black hole side of the equation. Elected officials seem unwilling to address the problems AND find solutions- they just point fingers and send money. On the other side there is this- the recent agreement to prolong the social security tax cut for an additional two months included a surcharge to new borrowers of Fannie and Freddie. Those new funds are NOT going to the agencies, but rather to government as a whole. On one hand they ignore a problem and allow it to bleed red ink. On the other, they use it as an opportunity to increase revenues without the American public being any the wiser to it. No wonder the system is broken.
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