Friday, December 7, 2007

A Rational Look at the Mortgage Crisis

Marginal Revolution has one of the better discussions I've yet seen of the push to "do something" about the mortgage foreclosure crisis. I've thus far intentionally stayed out of this debate because there's been little for me to add, but this piece pretty well sums up where I am on the issue. Money quote:

Contract-breaking is not an especially fair way to help the poor, given that the very poorest probably never borrowed any mortgage money in the first place, and the most responsible of the poor won't get anything either.

Give the whole thing a read- it's not very long and it fleshes the issues out quite clearly and rationally, without the usual demagoguery.