I see the world as being a pretty good feedback loop, which has a natural self-correcting nature to it. When economies slack and companies diminish their ambitions, investing less in growth and expansion, their demand for capital shrinks, which naturally translates into lower rates and even reduced lending standards as lenders seek to induce borrowing. The same happens in housing. If borrowers get nervous about the stability of their jobs, or the prospects of getting raises at work they are less likely to look to buy a home. This reduced demand for housing and for debt capital will inevitably lead to lower home prices and lower mortgage rates, and even reduced lending standards in order to induce borrowing. Inevitably, this natural process will succeed in stimulating a natural recovery, as borrowing will commence anew and a new cycle of growth will have been launched. There would be no need for artificial stimulus or intervention. The market will have healed itself.