WAPO Confronts "Political Reality" When It's Enforced by Seniors, Bows to It When Enforcers Are Bankers

That's what readers of its editorial on reforming Fannie Mae and Freddie Mac learned today. This is quite literally what the paper said in its partial endorsement of a complex hybrid proposal for a new system of guarantees for mortgage backed securities proposed by Senators Mark Warner and Bob Corker, describing the plan as "an obvious bow to political reality."

It's touching that the Post feels the need to bow to the financial industry's power rather than pushing for more economically effici...