In the UK press yesterday it was stated that more than 30% of homes in the US have negative equity and that according to Fanny May the house market is as bad as the 1930's

What is your administration doing to help?

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None. Mod edit to remove profanity. Fools to the left of me, Jokers to the right, here I am stuck up the middle of you!
Religion is a load of bollocks,

Im a Tart, What! you want some of this


Im glad I am a bottom feeder, not an arse licker!

We are Doooooooooomed

Unfortunately, it was the government's "help" that got us in this mess, by encouraging bad loans to weak borrowers from greedy lenders.

The free market should be allowed to punish both, but it won't happen.

Amen To That!

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If it was that easy, everyone would do it.

Now this I agree with, outstanding and simple statement. If the government would just stay out of the free market the market would fix itself.

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"The true sign of intelligence is not knowledge but imagination."...Albert Einstein

"The world is a dangerous place, not because of those who do evil, but because of those who look on and do nothing."...Albert Einstein

If You Can Read This, Thank A Teacher.
If You Can Read This In English, Thank A Soldier.

Then because of these people weakness and your administrations interference, these "weak" people are just left hung out to dry.

That appears to be very callous to me

Did Dubya's tax refund of a few month ago not provide the form of stimulation it was designed to do.

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None. Mod edit to remove profanity. Fools to the left of me, Jokers to the right, here I am stuck up the middle of you!
Religion is a load of bollocks,

Im a Tart, What! you want some of this


Im glad I am a bottom feeder, not an arse licker!

We are Doooooooooomed

What would you have the government do? Pass a law mandating that home prices must always rise?

Depends on what you thought it would do! It did exactly what economists thought it would do. Whether that fits with what W, Congress, the parties or the people wanted it to do is another matter.

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I wasn't born with enough middle fingers.

No, it did not. The stimulation came from American drivers cutting down on driving, which low the price of oil due to less demand- 800,000 barrels a day less. The lower oil prices subsequently lowered the price of just about any good that has to be transported. Low prices equals more money in people's wallets, which equals even more spending. Which boosts the economy.

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Truth is whichever fiction you choose to believe

Now there's some wisdom.

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"It is no crime to be ignorant of economics, which is, after all, a specialized discipline and one that most people consider to be a 'dismal science.' But it is totally irresponsible to have a loud and vociferous opinion on economic subjects while remaining in this state of ignorance.

--Murray Rothbard

Quote:

Originally Posted by Skinny. A liberal is just a libertarian who hasn't studied economics.

Is negative equity a term?...lol. Isnt that the same thing as debt?

Our stupid government bailed them out.

See here is what happened. Individuals got into ARMs (Adjsuted Rate Mortgages). Adjusted Rate meaning the interest rate can fluctuate with market forces up or down. As we know, the rates went up and people couldnt afford the new higher rates. So they went belly up.

Remember now, they got into these mortgages by their own free will. These are not new investments, they have been around for awhile. People get into them everyday and never have a problem paying them.

But this time, enough people screamed "give me a freebee", that the government listened.

They should have been left to wither on the vine like the rest of us who have failed investment dealings, but instead they gave them free money for making a stupid unwise, business transaction.

So the people who went belly up, now have reason to just go do it again, since now the precedent has been set that no matter what kind of idiotic investment they dive into, someone will be there to hand them all their money back at no charge to them. While the other 98% of us, are able to handle our finances and pay our mortgages, these fools, will live on mortgage welfare brough to them by the other 98% who, believe it or not, figured out how to budget for the investment they got into.

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If I had the option of voting 2000 and 2004 over again, I would still vote Bush.

You seen to be under the impression that the government intervened solely to help the borrowers, or that borrowers alone were culpable. That is not the case.