(RECAP: There is a glaring problem with proposals to dismantle Fannie Mae and Freddie Mac and “bring private capital back” to the mortgage market: Investors got mugged once and are not likely to walk down the same alley again. The unchallenged assumption in Washington is that the overhaul of the housing finance system should drastically reduce the role of government and revive the private-label mortgage-backed securities market. Investors are not likely to buy new mortgage-backed securities from Wall Street banks if the new securities are like the old ones.)