Monday, February 9, 2009

Bandos With Congressional Support

One of the memes that we here at FutureJacked will be watching over the course of the year was the "Bandos Unite!" meme. Bandos (defined in sense 4 here) getting out there and "liberating" empty houses has the potential for some very serious violence and anger to propel it. This intersection of legitimate defense of property rights, mixed in with a flavoring of distant corporate "ownership" of the house post-foreclosure and local economic agony has the makings of one hell of a stew.

Imagine for a moment your family is homeless and you are at your wit's end. Now multiply that by at least a tiny fraction every time you see another horrendous jobs number and you get the point.

Well, thanks to the sharp eye of reader WL, here is this little gem that will help illustrate the kind of emotional energy building up to propel this meme:

Congresswoman Encourages Squatting in Foreclosed Homes
As the economy continues to spiral downward, a US Congresswoman from Ohio, Marcy Kaptur, is encouraging her constituents to squat in their foreclosed homes. She is advocating that homeowners should simply stay put until the bank “produces the note” that proves it owns the home.

Because mortgages have been divvied up so much, the banks are having a hard time finding the original paperwork - and by telling a bank to “produce the note,” a homeowner can delay foreclosure by forcing the lender to prove the suing institution is actually the same which owns the debt.

Note the Congresswoman's request for a "legal revolution." This rang a bell here and I finally remember why - if you have not read it, I strongly urge you to immediately pick up a copy of Hernando de Soto's outstanding work, The Mystery of Capital. I especially urge you to think about what he has to say about how the West adapted their property laws during times of crises or transformation to adapt and allow for growth and individual ownership of property, especially in the early days of the United States.

We are in the very early stages of a transformation of some kind. Property rights and preservation of capital will be of immense importance if we are to cleanse the system and rebuild. If a revolution in property laws is required, well let's try and make sure it is to the benefit of the small-holders and individuals - the able and hardworking that want to build up capital and have a little something to pass along to the next generation - not live as parasitcal rentiers.

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