Dr. Brook just published an excellent piece in Forbes on the current legislation being proposed to regulate the lending industry. It follows an equally outstanding press release on the subprime issue put out by ARI directly.
I would only add that on top of everything they point out, there is a grave injustice in trying to freeze house prices at these uneconomic levels, viz. that those who were responsible and didn't try to purchase a home when they knew they couldn't afford it, are now being locked out of the market indefinitely thanks to the government bailout programs (not to mention that it will probably be their taxes that go to ensure they'll not be able to afford a home!).