Sunday, September 09, 2007

More Articles on Subprime Mess

Tyler Cowen has a good article in the NY times on some of the difficulties in formulating a policy to address the subprime mess.

Ed Glaeser writes about possible solutions as well. He seems to be advocating something along the lines of the "Kling Debt-Equity Swap". He dismisses Dean Baker's "Own-to-Rent" policy which would prevent lenders from foreclosing on borrowers but borrowers would lose their equity interest while being allowed to remain in "their" home as a renter.

No comments: