Is the Damage Contained?
Diana Heeb Bivona
U.S. Treasury Secretary Henry Paulson is quoted as saying he believes that the damage to the American economy from the housing market downturn and subprime mortgage foreclosures has been contained.
Paulson and the Treasury do however remain concerned about how many Americans will be impacted when adjustable rate subprime mortgages reset this year and next. In a recent CNNMoney online article he states, “You have to balance that against the fact that the subprime market has made credit available to many Americans who are able to own houses now that they otherwise would be unable to own.”
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