Home builders, undeterred by the automakers’ troubles in securing federal aid, are campaigning for a $250 billion stimulus of their own, the Wall Street Journal reports. Saying that the economy can't recover until home prices stop tanking, the builders propose a plan, called “Fix Housing First,” where the feds would underwrite some percentage of new-home costs through tax credits and subsidies.
But not everyone is thrilled with this idea: Economists fear a push toward more building will keep supply and demand out of whack and extend US financial troubles. Others point out that past housing credits have only worked because of a growing economy. With so many people jobless, it’s harder to tempt them to commit to a new mortgage.