I wrote about this some time ago here. Fed economists Robert Avery & Kenneth Brevort have a new paper out using a sophisticated empirical analysis to compare very similar mortgages that did or did not qualify for Community Reinvestment Act or GSE affordable housing goals credit. Consistent with prior studies, they find that CRA/GSE loans performed better, i.e. were less likely to contribute to the foreclosure crisis, than similar non-CRA/GSE loans.
The ideological battle over the story of the crisis, and the relative roles of regulation and deregulation, is fought as much with slogans and beliefs as with facts, but for those who think facts matter, this study is worth reading.
BankruptcyBankruptcy occurs when your liabilities are greater than your assets; basically when you cannot pay your debts as and when they fall due. There are three ways to be made bankrupt. You can apply to be made bankrupt yourself, known as Voluntary bankruptcy, a company that you owe at least £750 to can make you bankrupt, known as involuntary bankruptcy or you can be made bankrupt by the supervisor of an IVA or the Trustee of a Trust Deed.
Posted by: Account Deleted | Monday, January 10, 2011 at 12:09 AM