Now Americans are forced to pay for politically motivated decisions. Fannie and Freddie no longer operate under the guise of being private businesses. As part of the never-ending slew of bailouts that have taken place over the last two years, Fannie and Freddie were given an unlimited line of credit from the government. Over that time period, the two firms have requested $150 billion. Freddie Mac has been responsible for $64 billion of those request, with no end in sight. Freddie needs an additional $1.8 billion from the Treasury, just to stay afloat.

What does the government get for this unlimited investment?

The second largest U.S. residential mortgage funds provider reported a loss of $6.0 billion, or $1.85 per diluted share, in the second quarter, including a $1.3 billion dividend payment to the government.

That compares with an $8.0 billion loss in the prior quarter and is the best three-month performance in a year. The firm lost $840 million in the second quarter of last year.

The lesson is obvious: the government should not intervene in the private sector. No matter how innocent or noble a cause the government supports, like home ownership, they do not account, nor can they, for the law of unintended consequences. The economy is far too diverse for the government to make tweaks around the edges, without effecting more than they could ever foresee. The free market will regulate and adjust itself. Government meddling hides problems, creates new ones, and perpetuates existing ones. The seemingly bottomless money pits that are Fannie Mae and Freddie Mac serve as a great evidence of crippling unintended consequences, born of seemingly noble intentions.

Medical care under the new Obama plan will greatly decrease in quality. The cost of treatment will skyrocket. The IRS will have access to medical records, in order to fine you if you do not purchase state-approved medical insurance. The government will be put in control of 1/6 of the economy so it can work the same magic it did in the housing market (see: Fannie Mae, Freddie Mac, housing collapse 2008). The debt will continue to spiral out of control. But, the Democrats will be able to “control” you, and they will be able to address the problem of the ‘wealthy’ (anyone with a job!) “getting way, way too wealthy.” And isn’t that a real problem in the United States? Some people just have too much. How to solve that? Don’t lift up the bottom, no, drag down the top. There is the Democratic Party’s platform – keeping everyone equally miserable through mindless socialism since 1932!