November 11, 2007

Ben Bernanke, proving he's the worst Fed chairman ever, thinks Fannie and Freddie should be able to take on jumbo's up to $1 million.

We are so fu*ked it's amazing.

No, seriously, we are so fu*ked it's amazing.

At the very time we needed someone running the Fed who wasn't an idiot, who wasn't corrupt, who wasn't an enemy of America, and who could protect the American worker, saver and taxpayer, we end up with Ben Bernanke. Easily the worst Fed chairman in history. Yes, worse than Greenspan.

In the latest wet kiss to his banker and hedge fund buddies, Bernanke wants the taxpayer to 'guarantee' loans up to $1 million, to be purchased by soon-to-fail Fannie and Freddie. Yeah, that makes sense.

Ben Bernanke will do more damage to America during his short tenure than any human ever has to our country. Ben Bernanke is a traitor, pure and simple. Ben Bernanke is destroying America. And we let him do it.

Bernanke proposes new mortgage guarantees

As Congress and the financial services industry struggle to cope with rising mortgage defaults and a deepening housing slump, Federal Reserve Chairman Ben Bernanke Wednesday proposed that the federal government guarantee so-called “jumbo” home loans worth up to $1 million.

Bernanke proposed that so-called “government sponsored entities” like Freddie Mac and Fannie Mae pay mortgage insurance fees to the federal government. These GSEs would then guarantee loans that are larger than the current $417,000 limit on so-called “conforming” mortgages.

“From the federal government's point of view, (the GSEs) would be taking on some credit risk, which you may or may not be willing to do,” Bernanke told members of the Joint Economic Committee in a question-and-answer session.


Andrew from Russia said...

When $1 million only buys a remodelled outhouse, what's the problem? That's likely a hint as to where will the inflation go in the next few years!

Jive Dadson said...

When Ron Paul called him out, he claimed that the following dollar will not affect people who buy goods made in America. Even if there were any goods made in America to buy, that would be utter bunk. It's the same bunk that Richard Nixon used when the US defaulted in 1971. Watch them side by side if you don't believe me.

Edgar said...

We are so fu*ked it's amazing.

Who's this "we" you speak of paleface? The IRS, the fed, that is the banker's system, the banker's money system, not mine. The sooner the fed, the fed gub, and the IRS go out of business, the better. Bring on the chaos.

keith said...

'We' is:

1) the us taxpayer
2) anyone who earns dollars
3) anyone who owns dollars
4) anyone who wants to ever leave the US
5) retirees depending on a pension or social security paid in dollars
6) the whole world - the US just got AIDS

Anonymous said...

You left out the part where Chuck Schumer agreed to the plan and said he would insert the amendment into the current Seante bailout package.

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Anonymous said...


go to walmart:

load up on:

canned tuna.
bottled water

good luck.

Edgar said...


The sooner that the rest of the world realizes that our money ain't worth crap, the better off they'll be. You still act like a typical self centered Amerikan even after all this time in the UK?

LauraVella said...

That's crazy! no average home is worth that amount. We the people should not have to pay for others stupid mistakes.

Anonymous said...

No Keith we aren't HIV+ we are much worse off we are SIV+. Fortunately the rest of the world is just as screwed just a few months to years behind.


Anonymous said...

Bernanke is not the worst chairman.

Greenspan was. He's the idiot who's mess Bernanke got stuck with -- an impossible situation in which any thing you do will be deemed wrong.

I'm no fan of Bernanke, but Greenspan is the one who dropped the huge pile of stinking dung at his door, rang the bell and then ran off.

Anonymous said...

I have no idea where he got that figure from unless it has something to do with him having his head up his a$$

looosechange said...

I saw the premiere of "Loose Change Final Cut" and, low-and-behold, the progressives were latching onto Ron Paul (almost everyone) and Cynthia McKinney (green party folks). The Loose Change Producer said that he liked Paul since the Fed essentially creates capital out of nothing and that's dangerous!

Americans stole their property from the Native Americans so I guess creating capitol out of nothing is the way America works and Bernanke is just continuing that tradition and keeping the ATM chock full of cash in a "politically correct way" that avoids calling such policies welfare.

Anyway, if you haven't seen "Loose Change," you can see the first two versions for free by searching google but if you want to see the final version-- which removes details in order to focus on the major unanswered questions about 9/11, go to this website:


SeattleMoose said...

Bernanke (like Bush) is a lap dog who works for his jewish financial masters......

These people (I use this word loosely) have an agenda and in the end, WE will be the losers when their agenda is fully realized.

Is this a conspiracy?......yes

Peter T said...

It's is good custom to give a new holder of office the benefit of the doubt that he will do things better than in the past. Greenspan was bad with effectively negative interest rates, but Bernanke seems to have forgotten an elementary banking rule: don't throw good money (government guaranteed) after bad (debts not longer securitized by housing values). The current crisis has shown the problems of the current system of bundling and selling mortgages, see e.g. under
so now the government should try its hand on it, after private entities misjugded the risks. Bernanke seems worse than Greenspan.

christiangustafson said...

Ben Bernanke, born December 13, 1953.
Henry Paulson, born March 28, 1946.
George W Bush, born July 6, 1946.

That is all.

Anonymous said...

Instead of making these government backed loans that will default and stick taxpayers with the bill ,the Government should ,

Make a huge loan (billions ) to all the banks ,the Feds want to keep solvent , to cover their loss on bad loans that they can't cover.

Put the banks on a adjustable loan to pay back the funds in 10 years with a teaser rate for the first year .

That way the taxpayers can make money off the folly of the bankers and Wall Street funders , rather than the taxpayers paying for the bad loan paper they are trying to pass off to FHA /Fannie/Freddie currently . What are the Feds doing right now temporary loans at the discount window to the major lenders based on this junk paper . Why fool around anymore . Just give a bunch of big long term loans to the banks with the same money printed, at a punishment interest rate ,and we taxpayers can make money off the banks and they can make less profit for the next 10 years because they have to pay off the loan to the taxpayers of the United States .If the loan loss ends up being less than the banks think ,than they can pay off the FED(Taxpayer loan) sooner without a prepayment penalty .

All new money loans need to be insured ,with prudent underwriting and appraisals ,at least until the credit crunch is over,if it ends up being a government backed loan . The loan amounts should not be raised to 1 million and new money programs should not be enacted until there is proof that the market has become stable .Wouldn't want the taxpapers to catch a falling knife .

This is the only way of dealing with this grave situation . The Fed chairman should than raise the interest rates a little to try to save the dollar

I think that when Corporate America wants a bail out ,they shold pay for it ,not the taxpayers . So what if the Banks and Wall Street firms make less money in the next 10 years because they have to pay the UNITED STATED TAXPAYERS LOAN every month . They can get a second job.

Anonymous said...

He's not the worst chairman ever, he's playing the game as usual.

When the banks fail, get the "government" to take on the risk. Of course the government is you and me.

The banksters have been doing this for hundreds of years.

Andrew Hac said...


go to walmart:

load up on:

canned tuna.
bottled water

good luck.

Don't forget grenade, long range rifle, scoped rifle, double pump shotgun, poison arrow and bow, a couple bowie knife and machettes and you are all good.

What have I been stating so far on this blog ?

The Americano is as toasted as a snapper turtle on a skewer from tail to head over a sizzling bed of white-hot charcoal !

RiperDurian said...

"Federal Reserve Chairman Ben Bernanke Wednesday proposed that the federal government guarantee so-called “jumbo” home loans worth up to $1 million."

This is insane.

Anonymous said...

Carolyn Maloney, D Manhattan, 14th district, also supports this idea along with Schumer.

Any NY'ers might want to give her a call.

Any chance that we could get a list of Congresspeople who agree with Bernanke that saddling 50K/year households with million dollar loans is a *good thing*? Might be interesting to know who in Congress wishes the average American the ability to live a fulfilled life and who prefers a nation of screwed debt-slaves.