Fannie Mae and Freddie Mac Held a Competitive Advantage Over

Multiple Choice

Fannie Mae and Freddie Mac held a competitive advantage over other mortgage lenders primarily because

A) they were established as non-profit entities and thus did not need to show that they were profitable.
B) they could borrow funds cheaper than other lenders because their bonds were perceived to be backed by the federal government.
C) they were allowed to institute higher loan standards than other banks and mortgage lenders.
D) they were exempt from federal regulations monitoring lending practices.