While the United States Armed Forces (private mercenaries) are stationed at 737 bases, in 130 nations around the world, defending “all freedom-loving people everywhere in the world,” Republican (fascist/socialist) President George W. Bush signs the Housing and Economic Recovery Act:

• Providing 25,000,000,000 “dollars” to bailout the insolvent Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation (a.k.a. “Fannie Mae and Freddie Mac”), and giving the secretary of the treasury the authority to purchase unlimited amounts of Fannie Mae and Freddie Mac stock;
• Authorizing the Federal Housing Administration to guarantee up to 300,000,000,000 “dollars” in subprime (junk) mortgages, provided the lenders are willing to write down the principal owed to 90% of the home’s depreciated value;
• Creating the National Mortgage Licensing System and Registry of any U.S enemy/subject/citizen who applies for a mortgage loan;
• Expanding general education expenditures by 169,000,000,000 “dollars,” over the next five years; and veteran’s education benefits by 62,000,000,000 “dollars,” over the next ten years;
• Increasing the national debt limit from 9,815,000,000,000 to 10,615,000,000,000 “dollars.”  Among the Republican legislators voting to increase the debt limit was senator Mitch McConnell, of the commonwealth of kentucky.
• Increasing the FHA mortgage default limit from 95% to 110% of the home’s median area market value;
• Weakening protections from eminent domain seizures for mortgagees behind in their payments; and
• Prohibiting the private financing of down payments by home sellers.

       Postscript: By the time Bush left office six months later, he had accomplished a near doubling of the publicly held portion of the national debt from 5,700,000,000,000 to10,000,000,000,000 “dollars.” Eight months later only 451 homebuyers had applied for the 10% principal write-off, as commercial banks and other mortgage holders were reluctant to realize such huge losses on their balance sheets.  But the NMLSR continued to grow.

       [restored 7/18/2024] Thanks to Freedom’s Phoenix and Bill Holmes for this entry.