James Lockhart, head of the Federal Housing Finance Agency, which is currently running Fannie Mae and Freddie Mac, says the government should not be in the business of managing the mortgage companies. His experience, Lockhart said, has taught him that government ownership of these types of firms just doesn't work. "What I have seen is that government insurance programs are high-risk," he said. "It is often difficult in a political environment to calculate or charge an actuarially fair price."
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