The key to long-term economic success is rightly placed confidence in markets. In contrast, bubbles are the result of misplaced confidence.
The various components of the subprime solution described in this book are designed to facilitate such rightly placed confidence, by making the markets and their associated risk-management institutions work as they ideally can, for the benefit of all of us.
The short-term component of the solution described here is the most urgent. People are suffering and businesses are collapsing. The memories of these traumas will harm confidence and trust in our markets for years to come, just as they did during the Great Depression. With each passing day more damage is done to our social fabric.