Monday, November 30, 2009

Morality For Suckers

As Felix says, our contemporary discourse makes personal debts into moral obligations while no such strings are attached to corporate debts.

And the punchline is... yes, if you are significantly underwater in your home you should consider walking away. There are consequences, but if you bought at bubble prices there is a good chance those consequences are small relative to the (over)price you're paying for your mortgage.