Monday, June 14, 2010

Idealization of home ownership or debt?

From the New York Times:
"... the financial crisis might well have been avoided if we as a culture hadn’t invested so much political and psychological capital in the idea of owning a home. After all, the subprime mortgage business’s supposed raison d’être was making homeownership possible for people who lacked the means — or the credit scores — to get a traditional mortgage. It’s also why bank regulators and politicians were so willing to avert their eyes from the predations and excesses of the subprime companies..."
Full text
Comment: The problem was not the idealization of home ownership. The problem was debt. It is amazing how a host of writers eagerly work to rewrite history to their liking.

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