In 1970, by act of Congress, the US put in place an Agency to provide liquidity and the ability for many Americans’ to buy their own home. In effect, the Government was guaranteeing to Banks credible citizens who wanted to own their own home. It seemed to work pretty well almost 4 decades. And then came 2008. Now, the fate of Freddie Mac and other Gov’t Sponsored Agencies is in question. As of Sept 2008 Freddie is operating under a conservator-ship of the Federal Housing Finance Agency. this time on CBR, Freddie Mac Chief Economist Frank Nothaft. Pete Anderson and Dr. Rebbecca Gunnlaugsson begin the discussion.