In my remarks today, I will offer some thoughts on how GSE regulatory reform could reduce the systemic risks posed by these organizations while increasing their institutional focus on promoting access to affordable housing. Public policy issues raised by GSE operations I will begin by discussing GSE operations and some issues of public policy raised by these activities.
Because the nation’s level of investment, to a large extent, determines our prosperity over time, stability in the general level of prices for goods and services is clearly a necessary condition for maximum sustainable growth. However, product price stability does not guarantee either the maintenance of financial market stability or maximum sustainable growth.