Doug wrote:
> So who gets support? People who are
> delinquent or in foreclosure? Why
> would anyone keep paying a mortgage
> then?
^^^^^ CB: True.
Also, why wouldn't "banks" ( in the generic sense) just keep taking wild risks in the future, if they know that the bigger the risk they take, the more likely that it turns into its opposite, a zero risk ? In fact, the banks are more likely to get paid (by the government) if the loans default. Oh, fear of moral hazard, where hath thou gone.
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