The prompt corrective action provisions in FDICIA 1991 provide the supervisors with an unambiguous goal: quot;to resolve the problems of insured depository institutions at the least possible long-term cost to the deposit insurance fund.quot; Yet performance of the regulators in achieving this...

Fannie Mae and Freddie Mac are government-sponsored enterprises that are central players in U.S. secondary mortgage markets. Over the past decade, these institutions have amassed enormous mortgage- and non-mortgage-oriented investment portfolios that pose significant interest-rate risks to the...

This paper examines the policy issues with respect to resolving the possible failure of housing enterprises Fannie Mae or Freddie Mac. The authors compare and contrast these issues with those raised in the context of large bank failures and also identify important differences in the extant...

The prompt corrective action provisions in FDICIA 1991 provide the supervisors with an unambiguous goal: quot;to resolve the problems of insured depository institutions at the least possible long-term cost to the deposit insurance fund.quot; Yet performance of the regulators in achieving this...