Most financial advisors would tell you to diversify your asset holdings, yet our housing policies incentivize families to do just the opposite: put your savings in your home. The policies encourage homeownership over other asset classes. The results for many families were devastating. The GSEs were at the center of the housing storm and we have to date not addressed the fundamental reforms required.
Charles I Plosser: A perspective on the economy and monetary policy Speech by Mr Charles I Plosser, President and Chief Executive Officer of the Federal Reserve Bank of Philadelphia, to the Greater Philadelphia Chamber of Commerce, Philadelphia, Pennsylvania, 14 January 2015.