Fannie Mae, Freddie Mac, The Economy, Oh My!

So the economy is bad, now is it. Yes we've seen some giants fall, and I'm not going to act like I know what I'm talking about about here. But, I'll try to put my mind to work and understand what is going on. Companies such as Fannie Mae, Freddie Mac, AIG started to hand out mortgages to people who didn't really have the money to pay back their loans. Investment banks hoped and wished (Like Obama) that they would pay back the money, but they just couldn't. So these banks couldn't give out loans to new, beautiful, and hopeful people because they didn't have very much money to loan out (because of the losses they suffered from the people who couldn't repay their loans). So when these investment banks can't lend out money, people can't buy houses, or cars, or golden toilets, you know the stuff that people would normally take loans out for, which would shut down a huge portion of the economy. This is why the Federal Reserve is scared of the "possible" future of a depleting economy, and why they are proposing such a dramatic action to save these companies. This is also why Congress is working on a buyout to try and revive these fellas.

Someone might say "This is all Bush's fault! Our economy sucks! We can't afford 4 more years of this!" Okay, Bush has warned that something like this would happen since 2001. He has urged Congress to pass a reform package for Fannie Mae and Freddie Mac because the size of these companies could create a financial crisis for America if they do indeed fall into some financial problems. But what did congress do? Nothing. Yes, let's blame Bush. He got me a bad grade on my test! He ate the last piece of pizza! Dogs can be happy, because now we can blame Bush for farting too. So what do we do? Now, we act. Congress is close to finalizing a Bailout Bill...wonderful timing boys. If you would've listened to Bush 7 years ago, we could have avoided this whole debacle. They are talking about a 700 Billion dollar buyout. Is it just another "Great" Government run program giving taxpayers money away? But what other solution is there? If you have an answer, please enlighten me with your knowledge. I love to learn. But this 700 Billion. Where did or will this money come from? Oh yeah, You and Me...So when someone blames Bush for the struggling economy... you know the facts, inform them as well. Good day.