I too think the market should be left to decide what happens - the $700 billion is wasted money, and is throwing good money after bad. All it is going to do is avert a recession by a couple of years and make that recession when it comes truly diabolical.
Converting many of the deliquent/risky loans to longer term fix rates (e.g. 50, 60 year fixed rate) is the best solution for trying to keep people from getting foreclosed and not screwing the taxpayers.
[quote=piney;2771565]Why is this the only answer?
Can't these companies sell off these loans and foreclosed homes?
I mean, why can't the free market fix this on it's own?
People will lose jobs and companies will go out of business, but won't new companies make a killing, and grow, and create more jobs?
Is it just because we don't want to go through the grind of the market fixing itself?
I mean, seriously?
It seems that we aren't saving the economy, just preserving the status quo?[/quote]