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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?

To: JohnM who wrote (40883)	9/2/2007 10:58:24 AM
From: Dale Baker	Read Replies (1) \| Respond to of 541944

But it also needs a way, given these new mortgage structures, to recreate the ability to find common interest to avoid outcomes on one in the play actually wants. Which is widespread foreclosures. The fundamental law of the markets is risk and reward; there is no getting around it. Governments may take the edge off from time to time (or stupidly reduce risk to favor certain constituencies) but for folks to have more house than they can afford, they run more risk. For investors to get higher yields over treasury bonds, they take on more risk. You can't achieve the more beneficial outcome for everyone without taking on more risk. Wise legislation will make it hard or impossible to take on too much risk. Stupid legislation will socialize risk and take away the cost so certain subgroups can benefit beyond their merits.