Now What?
The American Banker Friday rightly said that the chances for GSE-reform legislation in this Congress are not only waning, but also essentially zip. We earlier said that the prospects for legislation are slim. Public recognition seals the legislation’s fate, but that doesn’t at all mean that Fannie and Freddie will stand as is until crisis or far-sighted policy intervenes. In this analysis, we define near-term decisions and likely outcomes for GSEs that are about to see significant change.

GSE-040218.pdf