Market Economics

Communists and socialists never understand market economics because to them, property is theft and the rights of owners do not exist. Marxist theory always assumes that business means exorbitant profits. During the depression in the 1920's, when owners began foreclosing on mortgages that came into default, fellow travelers in America protested and wanted the profit and loss feature in business, ignored. I say, shouldn’t owners be able take away housing from delinquent renters when they themselves are faced with bankruptcy? What’s happening today with the bail-out controversy over sub-prime loans sliding into default demonstrates the same socialistic theory and practice. Banks and mortgage companies make loans which are, per se, at risk of either reaping profits or suffering losses. Since money-lending practices began, no borrower has read fine print or seriously cared about interest rates or re-payment schedules; only the monthly payment mattered. No borrower anticipates a downturn in the future. Yet the decision to not pay cash or to not save cash for a future purchase, belongs to the individual not to the financiers willing to take the risks. Housing markets rise and fall. Markets see profits and markets experiences losses. However, when times turn sour or vicissitudes cloud the horizon, the borrower cries foul, accuses the lenders of being criminals and asks for concessions and a bail-out. Where does the bailout come from? Other, uninvolved, responsible Americans or from the government which, of course, is synonymous with those ‘others.’ who will pay. Punishing capitalism and punishing the forgotten man, the man who must pay for others’ irresponsibilities, just rewards irresponsibility.