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Treasuries are explicitly backed by the full faith and credit of the government. Fannie's and Freddie's paper, on the other hand, have long included the disclaimer that they are "not guaranteed by the United States." But both firms were creations of Congress and had access to a Treasury line of credit. As a result, Paulson said when he announced the takeover, "central banks and investors throughout the United States and around the world ... believe them to be virtually risk-free." And because the U.S. government created this perception, Paulson felt he had little choice but to make perception...

Author: /time Magazine | Title: With Fannie and Freddie, the US Is Bailout Nation | 9/11/2008 | See Source »

Second, we need to invest in grass-roots ideas, because the "next great innovation" usually doesn't come from government. So I'll create a Social Investment Fund Network and bring together faith-based organizations and foundations to expand successful programs across the country...

Author: /time Magazine | Title: Barack Obama: A Call to Service | 9/11/2008 | See Source »

...Even those Catholics who do follow their faith have little hope that Benedict's four-day visit - which will include a mass in central Paris and a visit to the southwest pilgrimage town of Lourdes - can make a real difference. "It will create a buzz, but I don't think it will create a very deep feeling of religion," said Guillaume de Galard, 32, exiting mass on a recent Sunday in downtown Paris. "It will only exist for his time he's here...

Author: /time Magazine | Title: The Pope's Purpose in France | 9/11/2008 | See Source »

...French President Nicolas Sarkozy has poked at this spiritual status quo, using a visit to Rome's Basilica of St. John Lateran to call for a "positive" conception of laïcité, which would also encourage public expressions of faith. Some critics, however, say that the twice-divorced Sarkozy sees the symbolic and historic identification with Christianity as a way to respond to the growing assertiveness of French Muslims...

Author: /time Magazine | Title: The Pope's Purpose in France | 9/11/2008 | See Source »

...More than history and symbols, Benedict is aiming at the future - and as he sees it, saving souls. He is keenly aware of the challenge in the heart of his native Europe, which has been drifting from its faith over the past century. Friday marks two years to the day from the most potent moment of his papacy, a provocative discourse at the University of Regensburg about how faith and reason can, and must, coexist. Though the Sep. 12, 2006 speech is best remembered for its citation of a Byzantine emperor's insults of the prophet Muhammed, which sparked Muslim...

Author: /time Magazine | Title: The Pope's Purpose in France | 9/11/2008 | See Source »

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