Will Grigg?s Liberty Minute

July 29, 2008

The Senate convened in a special Saturday session on July 26, to pass a measure supposedly intended to provide relief for embattled homeowners who face foreclosure.

In fact, the so-called ?Foreclosure Prevention Act? authorizes an open-ended bailout of Fannie Mae and Freddie Mac, the corrupt, government-sponsored financial enterprises that created the housing and mortgage crisis.

The bill provides the Secretary of the Treasury with practically unlimited power to lend money to Fannie and Freddie. Or he can nationalize those companies outright, should he and the president deem it necessary. No further action by Congress ? the supposed guardian of the public purse ? would be required.

Together, Fannie and Freddie have roughly $5 trillion in liabilities. We can expect taxpayers to be saddled with that entire sum. We can likewise expect this to be merely the beginning of taxpayer bailouts of banks and other ailing institutions ? and the end of market capitalism.

Let us take back the liberty wherewith Christ has made us free.