By GottaLaff
Obama addresses the Freddie Mac/Fannie Mae "intervention":
We should take action focused not on lobbyists, but whether it will strengthen economy, stabilize housing market... 3 ways:
- Protect taxpayers, not bail out investors, speculators
- Clarify status of housing policies. Investors can't invest in a heads they win, tails they don't lose situation. Washington ignored the warning signs and failed to take action that I've advocated for 2 years. No more wait and don't see approach.
- Finally, urge the administration and McCain to drop their opposition to a second stimulus package that would give immediate relief to families and struggling states. Replenish the trust fund, restore confidence in the economy.
Q:
Are you addressing attacks on you and your campaign?A: We've done as well as we can in the internet age where lies travel fast and truth has to play catch up.
Q:
Privatize entirely, or make it a TVA type fed agency?A: I don't favor continuation of neither fish nor fowl approach. We can't have managers and investors who soak up huge profits in boom times, but know taxpayers will bail them out. I want to wait and see what is being proposed by the administration. We haven't had enough disclosure of the assets of Fannie Mae and Freddie Mac yet. Then it will be a top priority of my transition/administration, should I win.
Q:
Have you been briefed on specifics of the plan?A: I spoke to Paulson, last night. Previously, with Bernanke. Today, I spoke to my advisors. I'll reach out to Chris Dodd and Barney Frank to find out what their assessments are. Right now, Paulson is comfortable that their plan is within the powers given to them by Congress, nothing additional. Let's wait and see the details of the plan, before we pass judgment.
Q:
Have Freddie Mac and Fannie Mae been forthcoming?A: I'll let Treasury Department brief you. No doubt what took place was in many instances irresponsible, but may have been legal, and took advantage of the structure, but management didn't maike decisions designed to help them reach liquidity... management bonuses, profits led to problems. How do we make sure that special interests lobbyists are not able to block basic regulation? We must change the culture in Washington.