Shaky Ground
Fannie Mae and Freddie Mac were created by Congress to serve the American Dream of homeownership. They had become extremely profitable and powerful companies, instrumental in putting millions of Americans in their homes. Based on comprehensive reporting and dozens of interviews, Shaky Ground chronicles the story of Fannie and Freddie seven years after the meltdown, and tells us why homeownership finance is now one of the biggest unsolved issues in today's global economy―and why it must be placed on firmer ground.
Praise for Shaky Ground
"Bethany McLean has written an insightful guide to one of the fascinating true-financial-crime cases of our time."
― Simon Johnson, Washington Post
"Bethany McLean romps through the well-intentioned founding of Fannie and Freddie, via their gradual corruption to the current unhappy limbo, with the government and hedge funds fighting over the scraps in the courts. McLean deftly steers a sensible course through the competing claims."
― Tom Braithwaite, Financial Times
"An excellent new book that attempts to make sense of the senseless history of Fannie and Freddie."
― Alan Murray, Fortune
"In a short, lucid paperback (or e-book) from a new publishing arm of Columbia University, McLean explains how the topsy-turvy world of Fannie and Freddie came to be and why government control of them likely will limp along indefinitely as the major unresolved issue of the financial crisis."
― USA Today
"McLean ably describes a situation where, seven years past the brink of economic collapse, Fannie and Freddie are severely undercapitalized, faced with investor lawsuits, and caught up in political infighting that prevents either comprehensive reform or their ultimate abolition."
― Publishers Weekly
"Based on in-depth reporting and dozens of interviews with key players in Washington and Wall Street, Shaky Ground vividly describes how we got into this unsustainable situation―and why everyone should care. This is business journalism at its best and a must-read for anyone concerned about a full recovery from the financial crisis."
― Porchlight