User 268076

No Wonder the $700 Billion Bailout 'Deal' Failed

Crikey. These ideas are dumb. Propping up housing will only delay the descent of housing prices to where they need to be. AFFORDABLE HOUSING DOESN'T COME FROM GOVERNMENT SUBSIDY. That only ends up as increased housing costs.

What is really needed is deleveraging. By everybody, including government. Yes some sort of cushion is needed while this deleveraging is happening to prevent depression. But any solution that does not reduce debt in the long run is no damn good.