Free But Responsible Open Markets – “FBROM”


2007 Focus: Helping Homeowners Keep Their Homes, and
Lenders Keep Their Loans!

Article USA - Mortgage Meltdown - Collapse of the Shadow Banking System

We all know the rising threat of defaults and foreclosures facing America is currently harming the economy, causing extreme asset devaluation, and potentially creating a serious social problem for the greatest example of democracy in the world today ( We all know that we must do everything in our collective power to help homeowners stay in their homes, and at the same time, help lenders keep their loans. This is good for us all. The solution should not be couched in polar divisive politics, nor should the solution be a ‘bailout’ of one interest over another. Neither bleeding hearts nor cold business greed should guide the solution, but, recognition in a few basic American principles must be our precondition. We can, and we must bailout the economy’ because its wellbeing is dangerously uncertain. We should not tolerate the risk of total free market devastation to the extent potentially causing millions of lost households and domestic if not worldwide recession, due to “uncertainty” created by failed system safeguards (i.e.: Shadow Banking System).  Inherent in saving the economy is saving homeowners who are sinking in ‘debt’ while retaining sensitivity to ‘free but responsible open markets’ (FBROM If we don’t we will flirt with ‘actual recession’ or worse.  Then we will all suffer.

We must safeguard our economy from market risk of destruction but at the same time make laws and industry practices that see a steady and voracious growth across the board in new homeownership for decades to come. We must all respect the various interests around the table starting with 5 simple principles:

First, we must aim to help homeowners keep their homes, and lenders keep their loans;

Second, we must aim to enhance sustainable homeownership and the economy at the same time;

Third, it took us all to get into this mess, and it will take us all to get out of it; so no one interest should necessarily suffer over the other;

Fourth, this is exactly the kind of mess that government should help fix and safeguard for the future; including use of private-public solutions;

Fifth, we must aim to avoid boldly adding restrictive non-comprehensive regulations, when we can use intelligent refinement as our regulating barometer.

[Congress] [Solutions] [ShadowBanking]