People who made horrible decisions and bought houses without down payment and interest only loans will be bailed out by those who put up a down payment and took out a normal 30 year amortization loan and have made their payments all along. Perhaps this is a good thing. Ownership promotes a certain independence. But I suspect that things will be gimmicked so that in order to keep the house you should never been able to buy, you will have to continue to support the Democrats. But then I have a nasty suspicions mind.
On protecting Wall Street:
Of course when government forces banks to make bad loans, is there then a moral obligation from all of us to make the banks whole again? They were only doing what we told them they must do. I know, I know, we the people didn’t vote to force the banks to make bad loans; but our government did, and the Congress did, and we continued to elect those who did that, and we are now to cheer them as heroes for rescuing us from the financial collapse. Barney Frank, Chris Dodd, Pelosi, Reid — they were all for regulations requiring more sub-prime loans. Banks that didn’t comply were in a world of hurt.