The real problem (in Ireland's case) is the taking on of an unsustainable debt burden.
Because as long as there was a bubble everyone was happy piling up debt to 200% of GDP. By laying out pros and cons we risk inducing people to join the debate, and losing control of a process that only we fully understand. - Alan Greenspan
Because as long as there was a bubble everyone was happy piling up debt to 200% of GDP.
No everybody wasn't happy because first time house buyers, in particular, were finding it impossible to get onto the housing ladder given the cost of buying or renting a house.
But there is a world of difference between people borrowing to buy a home and the sort of speculative "investment" the big banks and developers were getting into.
For one thing, there is no Nama for house buyers caught up in negative equity, unaffordable and rising interest rates, and redundancy.
Little people having their homes foreclosed is business as usual. When the big banks do the same the same distressed borrowers - amongst others - are supposed to bail them out? Frank's Home Page and Diary Index
