With Respect to Mortgages, What About Contracts?

By December 17, 2007General

George Will, writing on government action to “ease” the mortage crisis, “The New Entitlement.”

Perhaps Washington’s intervention in the subprime problem reveals the tiny tip of an enormous new entitlement: People who voluntarily run a risk, betting that they will escape unscathed, are entitled to government-organized amelioration when they lose their bets. The costs of this entitlement will include new ambiguities in the concepts of contracts and private property.

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