“It couldn’t be more clear could it? Almost worldwide, well-meaning governments; their politicians, bureaucrats, banking regulators and central banks, direct national mortgage and housing policies, as a key means to stimulate their economies. The United States did it before the crisis, as a means to pull the economy out of the dotcom bubble collapse and post 9/11 period, and is doing it again (led by the Fed), as a means to pull the country out of the financial crisis; that their well-meaning housing and mortgage policies caused (a key cause) in the first place. Think about this: Today, our government has effectively nationalized mortgage lending (through Fannie, Freddie, FHA, VA, Ginnie Mae, and Farmer Mac), banking (through the Too Big to Fail Banks), and student lending!!! The private sector mostly just processes mortgages and student loans for the government and stands behind them to be sued for warranty claims….that’s not much value-added.”, Mike Perry, former Chairman and CEO, IndyMac Bank