If we as a nation refused to bail out the bad subprime loans, would it help end the mortgage crisis?
I mean, the reason why this economic mess and prolonged recession started was because a handful of banks gave out bad loans to customers who couldn’t pay off their mortgages anyway, correct?
So why not have the banks and people who took these bad loans deal with it themselves? I mean, if they do lose their homes, they should’ve thought about it before signing off on those loans, right?
These people/banks still make up a tiny proportion of the homeowners and banks in the US — why should the rest of us suffer for the foolish (and sometimes criminal) behavior of others?