Urban 12-2 - -- However this trend ends up, the mortgage...

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Urban Economics Lecture 12-2 Freddie + Fannie 2: 1. What goes in to reform? 2. A couple of Proposals. - Abolition of Fannie + Freddie? -Are Fannie and Freddie too subsidized? CMI : Fannie and Freddie could become CMIs. -are all heavily regulated -would be restricted in the types of mortgages they could securitize. -innovation will be less frequent. -there might be regulation. --Fannie and Freddie will be explicitly bailed out. *Why does the government have to be involved in this guarantee? -- All of the proposals are pretty close. Neither is a robust, free market.
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Unformatted text preview: -- However this trend ends up, the mortgage market will never be great.-- Home owners are not too big to fail -- there is a lot of risk involved.-- Think about risks as a whole rather than co-ops, publically, or privately owned? Gentrification : from gritty to trendy-start with an old neighborhood with older/poorer people-- some of the older houses are rehabilitated and richer people move in. Manhattanville: a land-banking scheme. -the stuff thats here now isn't columbia's competitor....
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This note was uploaded on 02/16/2011 for the course ECON 4228 taught by Professor O'flaherty during the Spring '11 term at Columbia.

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