* Government encouraged lenders to relax their standards
* Mortgages were given to people unqualified to repay them, he says
* Rather than a bailout, government should let firms go bankrupt
* Talk of economic Armageddon is scare-mongering, Miron says
Read the rest here
Megan McArdle -- an economics writer for Atlantic magazine -- reacting to yesterday's vote:
"Actually, what I hope is that I'm wrong, we don't need a bailout, and after a period of liquidation, everything will settle down. If so, I will happily confess my error. But I'm very much afraid that I am not wrong, and things are about to get pretty grim."
Dr. Brad DeLong, Professor of Economics at UC Berkeley, is pro-bailout:
"A very good line from Rex Nutting:
"House to Wall Street: Drop Dead: WASHINGTON (MarketWatch) - With a firm rejection of Treasury Secretary Henry Paulson and Fed Chairman Ben Bernanke, the House Republicans have told the financial markets that they'll have to solve their problems on their own, without $700 billion of taxpayer money."