Why The Mortgage Crisis Happened: The Timeline
The timeline of the crisis, starting in:
1933-1938: President Franklin D. Roosevelt initiated "New Deal" reform programs designed to affect the mortgage market and homeownership. Fannie Mae, the Federal National Mortgage Association, was established to facilitate liquidity among lending institutions.
Today 2008: The narrative is of another failed socialist experiment, this time a massive federal effort imperiling the whole U.S. banking industry.
Top recipients of contributions from Fannie Mae and Freddie Mac since 1989:
• Sen. Christopher Dodd, D-Conn.: $165,400.
• Sen. Barack Obama, D-Ill.: $126,349.
• Rep. Barney Frank, D-Mass.: $42,350.
Condensed version here in IBD, full version here.