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Will the GSEs Repeat 2007 - 2009’s Large Losses?

The Stoop (NYU Furman Center)

They have a credit box 8 that is akin to what existed around 2000 - 2002, i.e., before the GSEs loosened it up as mortgage bubble distortions showed up. 12] This is not a level considered “adequately capitalized” by the regulators. These reforms also include major changes to how the GSEs do their business.

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