The government used to put debtors in prison. Now the state wants to pay their debts. In addition to rewarding bad financial choices, the foreclosure rescue bill overwhelmingly supported by Democrats and Republicans in both houses of Congress allows the Federal Housing Administration to back more than $300 million in loans to people who don't qualify for traditional loans through banks--who, unlike the government, are generally prudential with money because it is their money. Isn't issuing loans to unqualified lendees how we got in this mess in the first place? Naturally, the banks that weren't prudential with their own money like this bill because it saves them from the consequences of issuing bad loans. National Review points out the corrupt relationship several of the bill's supporters have with leading mortgage corporations. "Under the bill, mortgage lenders--of which Countrywide is the largest in the U.S.--would agree to renegotiate their most troubled home loans in exchange for a federal guarantee on those loans," NR explains. "If the borrowers who took out those troubled loans end up defaulting, the government would cover any losses the mortgage lenders incur." Given, as NR points out, that lenders face an average loss of one-third of the loan on such defaults, the benefit for banks would be quite substantial. A senator from Wyoming, one of the nine opponents in the upper chamber, perhaps said it best. "They expect the federal government to turn their backs on responsible lenders and borrowers and renters waiting--waiting--to become first-time homeowners, and support those groups that have pushed our housing market into decline with bad loans and bad investments," Mike Enzi told the Associated Press. "This bill is a federal government bailout." Rewarding reckless economic behavior only encourages reckless economic behavior.

What is so infuriating is not even that some supporters are doing this b/c they are corrupt but that it has overwhelming support. Think about that one. Our ruling class cares so little about the solvency of this country, about our private property rights, about the rule of law, and about the moral order and condition of the citizenry that a manifestly unjust piece of legislation has "overwhelming" support.

We're doomed as a country and our government is aiding and abetting in that doom on a regular basis.

I'm sure legislation like this will really help the value of our sinking dollar too.

Batman, again I'll use that little factoid that half of our population has an IQ of under 100 to make some sense of how stupid ideas like this and many others have support of the people.

Talk to people everyday who rail about Global Warming, gas prices and how they got as high as they are, how Bush is the root of all evil in this country, how Obama is the one, etc., and they have no clue. When you hit them with facts their eyes glaze over.

Unfortunately, these people can all vote and hold a valid opinion as citizens of this country.

Dumb down the public via a sub-par educational system, give them just enough to keep them comfortable, put them in front of the tube in general and in particular feed them news programs that are politically skewed and inaccurate and this is what we get.

Remember, a lame a$$ed weak Dem like Kerry was thisclose to becoming our President last time.

But ASDF,

Dumb as Americans (or people generally) may be only like 30-40 percent of those eligible to vote even bother. We are really not ruled by the dumb people but by the elites who are of one mind on power/money/ideology.

True. But how do they maintain their positions to rule? There's a reason they keep hanging on and it's not because people are that smart or paying attention.

"Batman, again I'll use that little factoid that half of our population has an IQ of under 100 to make some sense of how stupid ideas like this and many others have support of the people." - asdf

Is that true? Link?

I don't disbelieve you, but it's shocking.

Yes, Ben. And Obama's going to do something about the shameful condition that nearly a third of Americans are below average in any category.

We can do better!

Is not "100" in IQ based on the mean or median score? In other words, it shouldn't be shocking that roughly half the people score above and roughly half the people score below if the test was rigged, in a sense, to generally get scores of 100. Someone more versed in the history of the IQ can perhaps clarify the 411 on this, and inform whether 100 is from mean or median.

ASDF,

I still can't agree with pinning the blame on the stupidity/sloth or whatever of the American people at large.

My reasoning is that if you really examine the way our rulers operate they are flat out unresponsive to the electorate, they play the bases off against each other, they have gerrymandered themselves into near perpetual power and have made themselves fabulously wealthy (or were before entering politics). So in my view the fact that our rulers really either a) think these policies are just or prudent or b) simply do not f-ing care is far far more depressing then the relative intelligence or involvement of the electorate.

I mean, look at how easy it was to sell a war that a group really wanted to the country. Or look at how complicit and friendly the msm is. Or look at any specific idea that they ram down our throats despite the clear evidence that no one wants it (like open borders).

If our rulers wanted to NOT do something they would have zero problem getting that done.