then you may care for:

“Madame Speaker, I rise to introduce legislation to restore financial stability to America’s economy by abolishing the Federal Reserve. Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve’s inflationary policies. This represents a real, if hidden, tax imposed on the American people.

From the Great Depression, to the stagflation of the seventies, to the current economic crisis caused by the housing bubble, every economic downturn suffered by this country over the past century can be traced to Federal Reserve policy. The Fed has followed a consistent policy of flooding the economy with easy money, leading to a misallocation of resources and an artificial “boom” followed by a recession or depression when the Fed-created bubble bursts.

With a stable currency, American exporters will no longer be held hostage to an erratic monetary policy. Stabilizing the currency will also give Americans new incentives to save as they will no longer have to fear inflation eroding their savings. Those members concerned about increasing America’s exports or the low rate of savings should be enthusiastic supporters of this legislation.

Though the Federal Reserve policy harms the average American, it benefits those in a position to take advantage of the cycles in monetary policy. The main beneficiaries are those who receive access to artificially inflated money and/or credit before the inflationary effects of the policy impact the entire economy. Federal Reserve policies also benefit big spending politicians who use the inflated currency created by the Fed to hide the true costs of the welfare-warfare state. It is time for Congress to put the interests of the American people ahead of special interests and their own appetite for big government.

Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy. The United States Constitution grants to Congress the authority to coin money and regulate the value of the currency. The Constitution does not give Congress the authority to delegate control over monetary policy to a central bank. Furthermore, the Constitution certainly does not empower the federal government to erode the American standard of living via an inflationary monetary policy….”
http://www.reasontofreedom.com/rp_speach/federal_reserve_board_abolition_act_us_rep_ron_paul.html
http://www.govtrack.us/congress/bill.xpd?bill=h110-2755

You provided one of the possible answers. What I trust is a solution will find itself. I never buy the hobgoblin threat—people out on the street etc. If banks are not provided a solution they will come up with one. Who knows they may even end up giving the houses away! Whatever. I’m willing to bet that right now there are folks willing to set up, manage and maintain entire bank portfolios of foreclosed houses as rental stock if they were allowed to. All they need is the folks out of the houses/or the equivalent and the banks approval–approval that is not forthcoming because of rumors of plans and bailouts or current law..

Having said that, I repeat, no worries there will be plans. We’ll rally at plan z.

Not such a big pill. It seems to me that the one thing the government might do well is banking. They sure couldn’t do any worse than private bankers. The logical next step would be to eliminate the FED and thus remove all the middle men on the way to printing greenbacks again instead of interest bearing federal reserve notes. NOW THAT IS A PLAN!

Foreclosures would finish off the housing collapse, but it would probably also topple the banking system. This would have to be paired with nationalization of the banks. Not a horrible idea, but it’s a big pill to swallow.

Property declines on the Westside of Los Angeles, are like watching a trainwreck in slow motion. The water is up to 2004 buyers now, and rising faster each day.

http://www.westsideremeltdown.blogspot.com
http://www.santamonicameltdownthe90402.blogspot.com

as I threw my feet outta bed this morn .. I was sayin something like “man it seems a guy just has to begin thinkin its jungle law now .. book laws have lost their basic usefulness” … something like that

jungle law means you don’t rob a store .. unless its a mob of people .. who don’t know you .. and security in down and out already … and thats an extreme logical example

~
Patrick – I hear you .. I remind you that we all have 1 life to live, and this 1 thinks he was manipulated
and Mark ya hit it outta the park

“The previous owners will go back to being renters with lower monthly costs.”

And where do you see this vast ocean of rental housing? The banks are not in the rental business (although they certainly should be), they are leaving foreclosed neighborhoods empty, decaying and destroying what value there was in the properties. Commercial construction is flat on its back, due to lack of a viable credit market, so don’t expect a wave of news condos and apartments to provide the needed housing. Just dumping homeowners out on the street with no house and no jobs is only a formula for creating Hoovervilles.

A better solution is to let the foreclosed stay in their homes, renting them from the new owners at rates that would correspond to something like 100-yr mortgages at ridiculously low rates. No reason that the lenders should not share in the punishment. The homeowners cannot move until they either pay off the mortgage debt, or find a buyer who will. Those who over-bought and are unable to pay will find themselves chained to their homes for life, with a never-ending stream of payments.