Dear Editor,
Recently, government-sponsored, private lending companies Freddie Mac and Fannie Mae were affected so deeply by the present housing debt crisis that Congress has taken it upon itself to bail out the two to prevent them from going bankrupt and foreclosing on hundreds of thousands of Americans.
These two corporations combined own or guarantee approximately half of the country’s $12 trillion mortgage market, according to the New York Times.
It will take at least $400 billion, and, by S&P estimates, as much as $1 trillion in order to bail out these two troubled government-sponsored enterprises. Where would this money come from?
It will come from America’s debtors: ourselves.
Right now, the national debt is $9,545,842,200,233.46—nearly $10 trillion, up from $6 trillion in 2001. If the bail out would cost $400 billion, each American is responsible for $1,300 of that—in addition to the $31,355.92 we already owe. If the bail out would cost $1 trillion, each American would be responsible for another $3,300 of the national debt.
The House passed a bill which essentially authorizes the bail out, which will help approximately 400,000 Americans avoid foreclosure. However, that’s only $1,000 per person, folks.
Congress is authorizing the expenditure of money which is not its to give. I urge News readers to read Congressman David Crockett’s “Not Yours To Give” to understand my perspective in this situation.
Also, I urge New readers to call the office of Senators Specter and Casey and urge them to vote against any legislation which authorizes this misplaced government charity to save mismanaged corporations which practiced unethical lending. I urge readers to contact the office of Representative Altmire, as well, and discover how he voted, congratulating him if he voted against the bill, or the opposite if he voted in favor of it.
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