One Wisconsin congressman appears on the fence about a bailout of Fannie Mae and Freddie Mac. Treasury Secretary Henry Paulson is urging Congress to quickly approve a bailout for the mortgage giants. U.S. Representative Ron Kind (D-La Crosse) isn't sure it's a good thing. "It seems as if they want to privatize profits and socialize losses," says Kind. "The second there's a potential for a loss, then the American taxpayer has to come in, and start bailing out these companies."
Kind says, by eliminating risk, the bailouts send the wrong signals. But, despite his misgivings, he may cast an "aye" vote. "The last thing you want is for an all out failure of these companies. It could lead to a more prolonged recession." Congress could vote as early as Wednesday on the Freddie and Fannie bailouts . Democratic leaders are also rumored to be mulling a 2nd stimulus package. Kind says it's unclear the first one was worth the price tag.
