What Was the Original Stated Purpose of Fannie Mae and Freddie

question 86

Multiple Choice

What was the original stated purpose of Fannie Mae and Freddie Mac?

• A) to allow the government to extend loans directly to low-income and minority households
• B) to help provide liquidity in the secondary mortgage markets
• C) to operate as non-profit entities that would provide competition for for-profit mortgage companies
• D) to take on mortgages going into default in order to prevent them from going into foreclosure

Understand the principles of public choice theory and how it applies to the political process and government decision-making.

Recognize the impact of government activities and projects on economic efficiency and social welfare.

Analyze the relationship between the distribution of costs and benefits of public projects and their acceptance or rejection by voters.

Identify the factors that lead to the acceptance of productive (efficient) and the rejection of counterproductive (inefficient) government activities.

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Definitions:

Stereotypically Feminine

Traits or behaviors traditionally associated with women in a given culture, often including empathy, nurturing, and sensitivity.

Sex Differences

The biologically based distinctions between males and females, often related to reproductive functions but also encompassing other physiological differences.

Gender Differences

The distinctions in characteristics and behaviors typically associated with being male or female, influenced by biological, social, and cultural factors.

Cisgender

A term describing individuals whose gender identity matches the sex they were assigned at birth.