Henry Paulson is about to be given an $800 BILLION dollar blank check in the form of an increased Federal Debt Ceiling which he can spend on Fannie Mae and Freddie Mac IN ANY WAY HE CHOOSES, INCLUDING BUYING THE CRAPPIEST LOANS THEY HAVE AND STICKING A ONE HUNDRED PERCENT LOSS, $800 BILLION WORTH, ON YOUR TAX BILL.
A huge percentage of the debt issued by Freddie and Fannie - about $1.5 trillion worth - is held by foreign central banks. Paulson is proposing to bail out the Chinese and Japanese governments with our tax money!
Folks, I mentioned this on the radio show the other day. The US Government keeps foreign investment inside the US with a promise that no matter what bone-headed choices the country-club MBAs running our corporations make, the US taxpayer will be forced to cover the losses. That promise was demonstrated during the S&L Debacle of the late 80s and early 90s (from which sprang the whole Whitewater mess), in which deposit accounts, many of them linked to the Iran-Contra drug running operations, were refilled on the backs of you the taxpayer.
And if you let them, they will do it again.
"If the people were to ever find out what we have done, we would be chased down the streets and lynched." -- George H. W. Bush, cited in the June, 1992 Sarah McClendon Newsletter