Housing Insanity

Megan McArdle calls this “Housing Insanity:”

If you want to know why us libertarian types are skeptical of the government’s ability to prevent housing market bubbles, well, I give you Exhibit 9,824:  the government’s new $1000 down housing program.

No, really.  The government has apparently decided, in its infinite wisdom, that what the American economy really needs is more homebuyers with no equity.