Why are Republicans changing their tune on Fannie and Freddie?
One of the most common Republican battle cries over the past year has been to wind down government sponsored mortgage companies Fannie Mae and Freddie Mac (F&F). They played a major role in creating the housing bubble that led to the financial crisis. The taxpayers' loss on their rescue will exceed $150 billion, which is several times the cost of the rescue for the rest of the financial industry. Yet a new report indicates that Republicans might not be so eager to tear down F&F after all.