A lower mortgage bill is surely a relief to an unemployed worker, but what he really needs is a job, and we see nothing in this plan (or any other Washington scheme) to encourage job creation. To the extent that these payments are merely unemployment benefits laundered through the mortgage system and thus reduce incentives to find work, the jobless rate will stay higher for longer and the entire economy will be worse off.If every American is entitled to health care, then surely every American is also entitled to good housing, no? How long will it be before we have a national housing entitlement? Or do we already have one for people who are upside down on their home mortgage?
Thursday, April 1, 2010
Here, the WSJ gives us an update on results of letting Uncle Sam meddle and muddle in the housing market