Republicans' non-stimulus plan is a really bad idea

[Lionel Mandrake]

The Republicans’ no-bang mortgage plan
By Gary Becker and Edward Lazear

Published: February 9 2009 19:36 | Last updated: February 9 2009 19:36

In the current economic environment, mortgage legislation should be judged by two criteria. First, it should help the macroeconomy. Second, it should not damage the market that it is intended to assist. As a flawed Democrat-sponsored stimulus package makes its way through US Congress, Republicans have proposed mortgage legislation that fails on both counts. The proposed mortgage relief would have little macroeconomic benefit. ...

Read more at http://www.ft.com/cms/s/0/ef344a24-f6ce-11dd-8a1f-0000779fd2ac.html

When all the experts, including conservatives like Becker and Lazear, agree that a plan is worthless, you can be sure that they are right.

[frankdtank78]

1. mortgages

The govt should not be meddling with mortgages. Having taxpayers back up overpriced mortgages is a recipe for disaster. Trying to artificially prop up house prices that need to drop to levels of affordability is reprehensible for the future. The govt needs to let housing prices keep falling, as they are still on average more expensive than their historical affordability ranges. Lots of unintended consequences can follow these govt meddlings.

[Lionel Mandrake]

2. It's like trying to push back the tide.

The housing market, like the tide, will find its own level, no matter what we do.

[CaliforniaPeggy]

3. It's great when knowledgable Republicans are busy

Attacking their own...

K&R

[Lionel Mandrake]

4. Thanks for the K&R.

May our adversaries continue to squabble over the scraps from Obama's table.