From an accounting/disclosure standpoint Fannie and Freddie debt should be considered part of our total federal debt. Everyone knows it is only good to the extent the federal govt. backs it. The reason it is not added to the federal total is that the truth of the size of our debt is just too grim to admit to. As the article notes: "S&P said government-controlled Fannie and Freddie, along with certain Federal Home Loan Banks and Farm Credit System Banks, could also default on their debts, given each institution's "direct reliance on the U.S. government.""
S&P warns it may downgrade Fannie, Freddie credit - www.usatoday.com: www.usatoday.com/money/economy/2011-07-15-fannie-m...n.htm
http://chumly.com/n/a83afa
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