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Default Installing foil backed insullation board (pt2)

Insulating basement walls:
Last year in this group I ask about insulating basement walls. Learned
a lot about vapor barriers and types of insulation.
Last post: http://groups.google.com/group/alt.h...21aee700?hl=en

One suggestion made in a reply was to not fill the stud bays all the
way to the floor with fiberglass. Stop about 24" from the floor. This
would prevent the fiberglass from filling/soaking up water if I ever
did have water flood the basement.

Has anyone ever done this ? And if not fiberglass, why not fill the
last 18"-24" with Styrofoam or polystyrene. If so, which to use ?

Thanks