Sometimes you need tough love. Now is that time for that. Better spend the money on educating the next generation of low-income buyers.
I tend to be middle road to conservative, and on this point, I can’t agree with you more.(as well as the previous paragraph of yours) Screwing with free markets only makes things really messy. It also comes down to:
Give a man a fish, feed him for the day.
Teach a man to fish, feed him for his life.
I also think that the changes in the bankruptcy laws need to be reviewed. I get the feeling that the banks felt that they could literally create indentured servants using its new limitations.
Looking at the other factor, bailing out those that act irresponsibly only encourages that behavior and penalizes those that save (who will be paying the taxes to cover the over-spender’s bailout).
On the aspect of banks/lenders: I suspect that them also getting burned on this will lead to better behavior on their part. I would also like to see some of the corporate veils pierced on some of the sub-primes that declared bankruptcy as things went south. They certainly did it fast. Protects the owning parent company (unless veil pierced). I could hear the shredders down here as they were declaring bankruptcy..
