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Think of it this way:

Every single thing we write about the current crisis should be written with an eye toward the historians of the future.

Some people got a head start in this, I think - see for example below :

What would happen if we let the banks fail? Don't you think that this would result in a massive decrease in the money supply? And if that suddenly happens, wouldn't a major depression hit our economies?

I think of my self as a libertarian, but since the State has the monopoly of the money supply, the State should supply it when people demand more money, and now it seems to me that banks are despered for more money...

I think that careful analysis must make important distinctions: (1) the causes of the housing boom/bubble; (2) the role of the implicit guarantees of Fannie-Freddie; (3) the process by which mortgage-backed securities and credit-default obligations were created; (4) the problems that actors had/have in evaluating their worth; (5) the role of uncertain government policy during the panic stage in creating more uncertainty; (6) the role of Knightian radical uncertainty in #4,5; (7) the public choice aspects of the "recovery" plans and proposals; (8) the slippery slope potential in these plans and proposals; (9) the interpretative rhetoric of the situation and the lessons that people have and will learn from it; and (10) whether this is a case where some kind of government intervention was the lesser of evils once the cumulative decline got started (similar to Hayek's "secondary deflation" idea -- about which Larry White has written). These are paper and dissertation topics.

Mario Rizzo:

That´s exactly my thoughts, too. :)

By the way, I highly recommend the following Calomiris´ analysis:

What Mario said.
This is a centre-left blog which means is really much more left than centre, but a useful place to fly the flag so you are not preaching to the choir.

And for the cause of low home ownership among non-whites, check out the legacy of the Great Society programs of the 1970s.

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