Krugman: Spend Now, Save Later

[Final-Fan]

mrstickball said:

richardhutnik said:
What part of government intervention has told people to do credit default obligations or drive the current leveraging in the derivative market to around 10 times the value of the world economy?  These markets are not regulated, and there was no indication of any government bailout.  So, anyone want to argue how the government is a source of moral hazzard or hindering the free market from making needed corrections?
[...]
To say government involvement is responsible for every ill is to be VERY short sighted and to live under the belief that if Ayn Rand were followed to the letter, we would end up have flowers and rainbows every day. 

Correct me if I'm wrong, but didn't the credit default come as a result of packaging toxic mortgage assets to look better than they were? Weren't most of these toxic assets a result of government intervention in the mortgage market via the Community Reinvestment Act of 1999?

No, I believe you are wrong about that.  Where did you get that information?