Cato Institute Vice President and Director of the Center for Monetary and Financial Alternatives Norbert Michel is available for interviews in light of President Trump’s comments expressing interest in privatizing mortgage giants Freddie Mac and Fannie Mae.

Michel issued the following statement:

The federal government should sell its stake in mortgage giants Fannie Mae and Freddie Mac. The administration should also work with Congress to, at the very least, amend the companies’ charters to clarify that they no longer have a line of credit with the Treasury or a securities registration exemption.

The U.S. mortgage market should not include government-sponsored enterprises because private firms can purchase and securitize mortgages without a federal guarantee. Private profits should not be paired with the socialization of losses. Anything short of eliminating government sponsorship for these firms would leave in place the same system that led to the 2008 financial crisis.

Michel has previously written a piece titled “The Proper Way to End the GSE Experiment,” which you can read here.

If you would like to speak with Michel, please contact pr@​cato.​org to set up an interview.