by Axel Merk
This post is one in a series from respected guest commentators while Chris is away on vacation with his family & working on his new book. Chris returns next week; enjoy the fresh perspective in the meantime.
Will U.S. policymakers cause another financial catastrophe and destroy the U.S. dollar by focusing on their own short-sighted political interests? Or will economic reason prevail? While we wish for the latter, we fear the former is much more likely. Unless real reform of Fannie Mae and its smaller cousin Freddie Mac (together the Government Sponsored Entities, or GSEs) is implemented, the consequences for all of us may be dire. Investors may want to take this into consideration when making investment decisions. Future implications may put downward pressure on the U.S. dollar; investments into more fiscally-stable and prudent countries displaying sound monetary policy may become ever more attractive.
by blaggers 
