2008-06-27 Does the Housing Bubble Have to Pop

2008-06-27 \US economy http://www.prospect.org/cs/articles?article=fixing_the_subprime_mess Does the Housing Bubble Have to Pop? &ldquo;Congress, looking to protect debt-threatened homeowners and shore up the economy in the wake of the sub-prime mortgage crisis, has spent the spring wrangling over relief legislation now expected to pass after the Fourth of July recess. The bill, sponsored by Senator Chris Dodd (D-CT) in the Senate and Representative Barney Frank (D-MA) in the House, is designed to ease the threat of mass foreclosures by protecting some existing loans, and prevent future crises by imposing stronger regulations on major mortgage financers Fannie Mae and Freddie Mac. But does the bill go far enough in protecting homeowners, and does it offer the most efficient solution to the problem? Prospect Founding Editor Robert Kuttner and TAP Online columnist Dean Baker debate the bill and the future of the home loan regulation.&rdquo;   