With the passage of the massive GSE/FHA/housing relief bill, Congress has responded to a short-term crisis with a regulatory approach that will transform the federal approach to government for decades. Not only was an implicit federal guaranty of the housing GSEs made explicit, but new regulatory powers were given to the FHA, GSE regulators, the Federal Reserve Board and other banking regulators. With the financial markets being so jumpy, a lesser response might have been inadequate. With Congress getting so used to proposing federal regulation (and budget exposure) as a solution to financial service inadequacies, the pace of federal insurance regulation may quicken as well.