Foreclosures Dangerous for National Economy

Today multiple news reports were released about the national foreclosures situation. We have seen how it has impacted wallstreet but what may not be as appearant yet is the impact on major cities. As people struggle to keep a mortgage payment together the economic effects are considerable and over time could cause major problems for cities and the country as a whole. As people cut back considerably on their spending, the overall money circulated decreases and the economy slows.
The president of the U.S. Conference of Mayors said a rising tide of foreclosures threatens to "break the back of our national economy." -Source

It will be interesting to see what policy changes at the corporate and national levels are made to aid struggling home owners.