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.
Originally Posted by piney
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?