The most important point is, in a time of crisis, there is no way out but for the government to be bold and aggressive.

Yes. I don't think it would be appropriate at this point to raise taxes on anyone, certainly not in 2011.

Buying a home wouldn't make much sense if house prices were likely to decline further; no one wants to catch a falling knife.

Investor demand for distressed property has been healthy, as rents rise to levels that can cover investors' costs while they wait for properties to appreciate. Giving investors a small tax break should further juice up demand, supporting prices for distressed homes and the market in general.

Our economy isn't going to recover until the housing market finds its footing.

There is plenty of blame to go around for the U.S. housing bubble, but not much of it belongs to Fannie Mae and Freddie Mac. The two giant housing-finance institutions made many mistakes over the decades, some of them real whoppers, but causing house prices to soar and then crater during the past decade weren't among them.

The discussion in Washington has changed dramatically. I mean, it's no longer a question of should we address entitlements - it's no longer a question of do we need to reduce spending in the future.