pug -- dead on with that analysis.

I was in the mortgage industry during the run-up in sub-prime lending. It was free market speculation and had nothing to do with Bush administration policies -- ridiculous! Was Clinton responsible for the tech bubble or Enron and Wordlcom??? -- uh, no!

Lenders that refused to be swept-up in the frenzy should be rewarded for their good choices. Thus, I do agree that the industry should not get a bail-out. Airlines, energy companies, telecome, banks -- I don't care. If you aren't profitable becuase of the choices you make -- so be it. The long-term cost to society of bailing-out the weak is far worse than the short-term pain associated with a recesssion.

There are plenty of laws against predatory lending. If true certain companies violated laws -- go get em. Otherwise, let it go. The market will correct itself -- the weak will die and the strong prevail.

Individual families subject to predatory lending deserve protection from foreclosure. This doesn't mean a bail-out for every last individual that bought too big a home and deserves to suffer a little bit and learn from their mistakes.


I will have a Belikin -- put it on klcman's tab.