Vice President Mike Pence’s chief economist said the Trump administration is working on GSE reform principles. The comments came this week during a government relations summit hosted by the American Bankers Association. Mark Calabria, former director of financial regulation studies at the Cato Institute, caused a media frenzy when during a general session he said that a “set of principles” on GSE reform is likely to emerge in the coming months. Calabria is not a proponent of the GSEs, and believes that without Fannie Mae or Freddie Mac, commercial banks would step in to fill the liquidity void for the simple reason they have so much in the way of “excess reserves.”