- Stop intervening in the housing market
- abolish federally-created lending institutions
The American ideal was living safely under one's own "Vine & Fig Tree," with no threats from government, lawyers, or bankers. The Big-Government policies of both Republicans and Democrats have turned the original American Dream into a nightmare.
On October 11, 2008, President Bush announced, "The supply of homes now exceeds demand." This never happens in a Free Market. Prices relentlessly push supply and demand together. Government-manipulated prices distort the market, creating shortages or "illiquidity."
A relatively Free Market allowed housing to become plentiful in the first half of the 20th century. Federal interference and intervention in the latter part of the 20th century has created a "crisis" in the early 21st century.
Government does not have solutions for this problem. Government is the problem.
- Nobody in America in 2008 would want to live in the "average" house in America in 1776.
- Everybody in America in 1776 -- even the richest -- would love to live in the average house in America in 2008.
- Even the poorest houses in America have television, microwave ovens, forced-air heating, indoor toilets that represent a vast increase in hygiene and sanitation, plus an extraordinary range of goods and services unavailable in 1776 that transform a "house" into a "home."
- This unimaginable increase in the standards of housing are the gift of capitalism, not socialism.
Fannie Mae and Freddie Mac
- Freddie Mac: A Mercantilist Enterprise, by Paul Cleveland, March 14, 2005
- Fannie Mae: Another New Deal Monstrosity, by Karen De Coster, July 2, 2007
- How Fannie and Freddie Made Me a Grumpy Economist, by Christopher Westley, July 21, 2008
- Who Made the Fannie and Freddie Threat? By Frank Shostak, March 5, 2004
- Are Fannie and Freddie Too Big to Fail? By Frank Shostak, September 17, 2008
- Fannie Mae Distorts Markets, by Robert Blumen, June 17, 2002
The Housing Bubble
- The Real Cost of a Full Bailout, by Don Rich, August 22, 2008
- The Subprime Mortgage "Crisis" Will Fix Itself, by Steve Berger, May 30, 2007
- Did the Fed Cause the Housing Bubble? By Robert Murphy, April 14, 2008
- The Mortgage Market Mess, by Christopher Westley, May 17, 2007
- Housing Bubble: Myth or Reality? By Frank Shostak, March 4, 2003
Community Reinvestment Act
What To Do
- Don't Bail Them Out, by Llewellyn H. Rockwell, Jr., September 10, 2008
- How to Avoid Another Depression, by Mark Thornton, September 10, 2008
- Taking Money Back, By Murray N. Rothbard, June 14, 2008
- Beware the Alchemists, by Ludwig von Mises, February 3, 2006
- Reflation in American History, by H.A. Scott Trask, October 31, 2003
- Money and Freedom, by Joseph Salerno, February 2, 2002
- The Case for a Genuine Gold Dollar, by Murray Rothbard
- What's Behind the Financial Market Crisis? by Antony Mueller, September 18, 2008
- Our Financial House of Cards, by George Reisman, March 25, 2008
- Will Central Bankers Become Central Planners? by Robert Blumen, July 31, 2008
- Inflation is a Policy that Cannot Last, by Thorsten Polleit, March 14, 2008
- The Widening Safety Net, by Christopher Mayer, March 19, 2004
- The Fed's New Tricks Are Creating Disaster, Frank Shostak, March 18, 2008
- The Fed's War on the Middle Class, by Mark Thornton, June 4, 2008.
- Austrian Economics and Financial Markets conference at The Venetian Hotel Resort Casino, Las Vegas, 02-18-2005
The Austrian Theory of the Business Cycle
- The Idiocy of Wall Street, by Don Rich, September 24, 2008
- The Fed is Culpable, by Hans F. Sennholz, November 11, 2002
- Skyscrapers and Business Cycles, by Mark Thornton, August 23, 2008
- Economic Outlook 2008: Darkening Clouds, Dominick Armentano, January 2, 2008
- Business Cycle Primer, Llewellyn H. Rockwell, Jr. February 8, 2001
- Economics Depressions: Their Cause and Cure, by Murray Rothbard
Who Predicted This?
- The Financial Apocalyptics are Back, Robert Blumen, July 25, 2007
- Sowing the Seeds of the Next Crisis, Thorsten Polleit, April 25, 2006
- Credit Crisis: Precursor of Great Inflation, by Thorsten Polleit, February 7, 2008
- Mr. Bailout, by Anton Mueller, September 30, 2004
- America's Unsustainable Boom, by Stefan Karlsson, November 8, 2004
- Who Predicted the Bubble? Who Predicted the Crash? By Mark Thornton, July 14, 2003
More on Fannie Mae and Freddie Mac
- The Fannie Mae Gang | Paul Gigot, Wall Street Journal
- Treasury's Thieves
- Polluted Markets
- Thomas Sowell on Government "Solutions" on National Review Online
- EconomicPolicyJournal.com: Fannie and Freddie Own A Record $6.9 Billion Foreclosed Homes
- Fannie Mae acquired twice as many homes through foreclosure in the first quarter as it sold, regulatory filings show.
- Together, Fannie Mae and Freddie Mac, the two biggest U.S. mortgage finance companies, owned a record $6.9 billion of foreclosed homes on March 31, compared with $8.56 billion held by all 8,500 U.S. commercial banks and savings and loans.
- This is how the government helps Americans with home ownership.
- Paulson-Bernanke Plan Would Give the Fed Broad New Powers | The New American
- Cato-at-liberty » Fannie and Freddie
- Paul Krugman's Millionaires
- Fannie, Freddie, and a Primer in Finance | William L. Anderson
- Stop the Printing Press! | Congressman Ron Paul
- Goodbye Capitalism | FT.com
- Notes on the Fannie Mae/Freddie Mac Bailout | Robert Higgs
- Terminate Fannie Mae and Freddie Mac | Michael S. Rozeff
- Fannie, Freddie, Fascist | Llewellyn H. Rockwell, Jr.
- How Things Get Too Big to Fail
- Bernanke and Paulson: Economic Prostitutes | Michael S. Rozeff
- Let the Bankruptcies Roll | Michael S. Rozeff
- Fannie and Freddie | Rep. Ron Paul
- Solving the Fannie/Freddie Problem - Rep. Hensarling & Rep. Ryan, Politico
- White House Drops Veto Threat on Housing - Ian Swanson, The Hill
- The Crumbling of Fannie Mae | Bill Bonner
- Fannie Mae: Another New Deal Monstrosity - Karen De Coster and Eric Englund - Mises Institute
- Fannie Mae Distorts Markets - Robert Blumen - Mises Institute
- Freddie, Fannie, and Curses on FDR - Llewellyn H. Rockwell, Jr. - Mises Institute
- Fannie Mae, Freddie Mac, and Housing Finance: Why True Privatization Is Good Public Policy
- Get Out of the Way | Anthony Gregory
- The Mega-Bailouts Begin | Will Grigg's Liberty Minutes
- End the Mortgage Duopoly
- Bailing Out Fannie and Freddie | Arnold Kling
- EconLog, Perspective on Freddie and Fannie | Arnold Kling: Library of Economics and Liberty
- Why the Bail Out of Freddie Mac and Fannie Mae: is Bad Economic Policy | Michael Hudson
- It Begins | $5.3 trillion bailout triggers economic meltdown.
- Tax Rebates and the Housing Market | Ozarks Virtual Town Hall - March 29, 2008
- Stimulating the Economy, Preventing Recession | Ozarks Virtual Town Hall - March 15, 2008
- The Alternative Minimum Tax and the Mortgage Mess | Ozarks Virtual Town Hall - December 8, 2007
- The Subprime Mortgage Mess | Ozarks Virtual Town Hall - September 1, 2007
- What you're not being told | DownsizeDC
- Too Big to Fail? Long-Term Capital Management and the Federal Reserve
- Fannie/Freddie Should Be Cut Down and Cut Loose - A. Reynolds, Cato
next: Campaign Finance, Corruption and the Oath of Office