Don't Bail Out Fannie and Freddie

"Allowing either of these GSEs to continue operating would be a disaster for the taxpayers, and the S&L industry experience shows why. As long as a company is insolvent, it has nothing to lose -- and everything to gain -- from risk-taking. The fact that insolvent S&Ls were allowed to continue to operate through much of the 1980s was the major source of the $150 billion in losses they ultimately imposed on the federal government and the taxpayers."