Today’s New York Times editorial picks up on an unreported feature of the meltdown in the mortgage market. The bankruptcy laws that are generally available to help people (and businesses) cope with unpayable debts are useless to deal with home mortgages. As a result, the specific tool that might avert a collapse in housing prices isn’t in the toolbox.
This is a companion discussion topic for the original entry at https://talkingpointsmemo.com/?p=1250586