letting prices fall fast and bid them up. neil: so prices have a ways to go down. guest: a lot. neil: this could be like what happened in japan with a 20 year real estate problem? guest: the same thing, trying to get things going and artificially inflating houses prices, look what going on in washington, a huge debate over the foreclosure crisis, the scandal where people were not given due process because they had the automatic robo s and 99 percent those foreclosed upon could not pay their bills. it is prolonging the agony, if they are not out of the homes and a lot of them are not, you cannot tell the home in foreclosure. the price cannot come down. that is the problem. we need to clear the market. you sell things at bow low at
are saying tough love is here. guest: in the housing market we have a lot of evidence we failed and we should let the market clear. i err with charlie on that. neil: does that concern you, that you agree with charlie? guest: i am terrified. also there is a lot that can be done. steering directly into financial crisis as the u.s. government is, that is bad policy and republicans on the right try to fix that and get spending controls. we should ratify straight agreements and create jobs. our tax code is not competitive internationally and we have proposals to allow companies to bring back money and hire people and invest. that can improve the jobs climate. if you look at consumer confidence, people get it and are looking at inflation and the jobs and they are not just worried about this month but the future.