Government should stay out of capitalist market
On September 30, 1999, The New York Times published an article about the decision by Fannie Mae Chairman, Franklin Raines, to loosen credit requirements for getting home loans. The story said that “under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and …pressure from stock holders to maintain its phenomenal growth in profits” credit worthiness was not to be considered. Originators of mortgage loans were instructed to make more loans. They were told by bank regulators to not worry about the ability t...
