A More Promising Road to GSE Reform: Why It Leads to a Government Corporation

Brief

A More Promising Road to GSE Reform: Why It Leads to a Government Corporation

Abstract

In “A More Promising Road to GSE Reform,” Jim Parrott, Lewis Ranieri, Gene Sperling, Mark Zandi, and Barry Zigas proposed to merge Fannie Mae and Freddie Mac into a government corporation that pushes its credit risk into the private market. In this paper, the authors discuss the three primary alternatives: the multiple guarantor model, the utility model, and the mutual model.

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