Re:Netflix's Junk Bonds Explain How We Are in a Corporate De...
by jariel on Wednesday February 05, 2020 @05:48AM
(#22245675)
So I agree with all of that except for the 'it would have been better to not bailout those home owners'.
That would have led to existential destruction of the economy from which recovery would have taken decades.
So - the bailouts, immoral as they may be - were a better options.
But yes - interest rates should probably be nudged a little higher, and mortgages should be of much higher quality etc..
One trick would be to get rid of mortgage interest as a deduction. That's crazy. Of all the things we are making tax-deductible? Mortgage interest? Wow.
That would have led to existential destruction of the economy from which recovery would have taken decades.
So - the bailouts, immoral as they may be - were a better options.
But yes - interest rates should probably be nudged a little higher, and mortgages should be of much higher quality etc..
One trick would be to get rid of mortgage interest as a deduction. That's crazy. Of all the things we are making tax-deductible? Mortgage interest? Wow.