DRAFTING TO DO TWO THINGS AT ONCE. FNMA and Freddie Mac were supposed to provide the best of two worlds–part private companies and part public. The government got a say in their policies, but they were not on the government balance sheet, not part of the national debt. They were able to take risks that a private company could not take because maybe the government would stand behind them. And then things changed and in some ways they provided the worst of both worlds.
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