Bush Administration caught by surprise - CBO bombshell - incorporate mortgage bailout into budget

http://www.ft.com/cms/s/0/e30472a6-7e79-11dd-b1af-000077b07658.html

Cost of US loans bail-out emerging
By Krishna Guha in Washington and Michael Mackenzie and Nicole Bullock in New York

Published: September 9 2008 15:57 | Last updated: September 10 2008 00:34

The US on Tuesday began to face the financial consequences of the bail-out of Fannie Mae and Freddie Mac after Congress’s budget watchdog said the housing giants’ operations should sit on the government’s books and the cost of insuring against a US default crept higher.

With the stock market tumbling, the non-partisan Congressional Budget Office said the government takeover of Fannie and Freddie meant the companies should no longer be regarded as outside the public sector.


Peter Orszag, CBO director, said: “It is the CBO view that Fannie Mae and Freddie Mac should be directly incorporated into the federal budget.”

The Bush administration appeared to be caught by surprise. A spokeswoman for the Office of Management and Budget told the Financial Times: “We are working through this issue with Treasury and other stakeholders.”

Republiconomics has totally tossed the US economy in the crapper.

ENRON redux, but we own the debt.

Wonder if Karl will know what to do, now?
We've got to get these people out of the white house before they really take the entire world down with them.

Every venture George W. Bush has attempted HAS FAILED.

arsenic to making us the either the laughing stock of the world or the target of pathetic sorrow. Every failure and success means destruction of people and the planet. But, some people are very rich.

How many times have we heard that?!

I'm gonna put that on a shirt with this picture:



Gee let's elect McBush....

doesn't mean you get don't have to show it on the balance sheet. Those final numbers when the gig is up are going to REEK. Put that in your legacy pipe and smoke it, George.