What is one of the largest pinch-points of the current economy in the United States? Mortgage loans and the housing bubble, of course. This is only one corner of the multi-faceted tower that comprises the country’s stability as a whole, and its syncopation into the world system. The government acquisition of the lending giants Fannie Mae and Freddie Mac signal one of the largest bailouts in history, a new set of rules, and standards yet to be written by federal political policy. What future does this spell for those whose loans were previously under the wing of these entities? More importantly, does this signal a growing trend and endgame for other businesses under the same strain and state as Fannie and Freddie? A diverse group of experts get real and extrapolate the issue on this episode of Charlie Rose below.
A discussion about the U.S. government’s takeover of mortgage giants Fannie Mae and Freddie Mac with Mohamed El-Erian, co-CEO co-CIO for PIMCO, Gretchen Morgenson, Floyd Norris both of The New York Times and Nouriel Roubini of New York University.