“They’ve gotten too big and too expensive to taxpayers,” she said. “The McCain-Palin administration will make them smaller and smarter and more effective for homeowners who need help.”
Ms. Palin’s statement went largely unnoticed by political reporters, who are often more schooled in political rhetoric than economic theory. But left-leaning blogs and others have picked it up and are portraying it as a gaffe, noting that Fannie and Freddie are not government entities but instead are private-sector companies.
I see, if a simple statement of fact is not "political rhetoric", reporters don't understand it. Now I understand why outright lying about your opponents economic plan is not considered taboo by most of the mainstream press any more. They just can't be bothered to deal with basic knowledge about how the world works, y'know like reading the non-partisan Tax Policy Center's report on the two campaign's economic plans...in other words reporting.
By the way...Atrios suggests that economic theory actually looks like this. For anyone going to grad school today it looks like this:
...and there's definitely nothing on Fannie or Freddie in there!