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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Perspective who wrote (91042)	10/1/2007 9:34:21 PM
From: Elroy Jetson	Read Replies (1) \| Respond to of 306849

I'm confused by your reply. You're angry that inflation bails out, at your expense, lenders and borrowers who acted irresponsibly. Yet you like the fact that monetary debasement bails them out so they won't remember their mistakes for very long. So which is it? The traditional capitalist method for bailing out a borrower who gets into trouble is bankruptcy. Both the lender and borrower get to learn a very valuable lesson they can either "never forget" or "forget quickly" at their option. Its not kind to protect people from themselves. When you do so they fail to learn from their mistakes. .

To: Perspective who wrote (91042)	10/2/2007 3:07:20 PM
From: John Vosilla	Read Replies (1) \| Respond to of 306849

'Financial mistakes fade with time as their real price fades through compounding inflation' This is nothing new. Look over the course of a lifetime, say 80 years, to see how much the purchasing power of a dollar has gone down.. Expansion of the monetary base through clever deception by our government will always be the end game. Correcting financial mistakes like the S&L fiasco didn't seem to incrementally add to inflation back then when combined with strong dollar policies and fiscal discipline which are much more important.