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Bailout vote fails: disaster or a vote for the people?

September 29, 2008

By a vote of 228-to-205 the House of Representatives rejected a compromise plan that would have allowed the Treasury Department to buy up toxic debt from struggling banks. Is the rejection a “complete disaster” or “a vote for the people who did not issue or accept a sub-prime mortgage?” Join the debate in the comments field below.

Comments

What we need is a “trickle-up” bailout. Anyone who is credit-worthy (has a job) and whose primary residence is being foreclosed gets a mortgage that they can afford. Google it.

Posted by stromo | Report as abusive
 

Bravo to more than half of our Congress Men/Women who for the first time not allow Bush and his gang to lie to the people again and again. To vote for their fraud package means to further damage our country and system. It might be painful but helpful for our capital system to function properly. Let’s not be fooled by the politic of fears.
PDN

Posted by PDN | Report as abusive
 

It is good that the House did not pass the bailout as the last time they passed a Bush bill without reading it they got slamed. 240 pages is way to much for these guys to read and deal with in one night.

 

No bailout: the bad news and the good news.

The bad news: It becomes more expensive to live beyond one’s means, and for some people it means that they cannot afford their current lifestyle supported by credit. It becomes much more difficult to run businesses that do not produce tangible value and have to rely on financing at the hope that one day they become profitable. Lots of people will have to adjust their life and business plans to be leaner, more efficient, more productive, and abandon projects that have small chance of success.

The good news: 700 billion not spent on making the life of private greedy investment banks nicer at times where economic realities knock on the door leaves some money to meaningful projects that boost economy and strengthen the country. Maybe even for some important things like science and technology education, which in past has been one of the cornerstones of US success in the world, but in past eight years has seen little growth in federal support. How about spending few hundred billion to develop technologies that free us from the dependence of foreign oil? How about more federal support to schools so that our children and grandchildren can compete better in the world where US is not so dominant as it used to be?

Posted by Kalju | Report as abusive
 

Why do we want a bigger government when the one we have provided the environment. We all created this with decades of greed, immediate gratification spending, and personal debt abuse. Let bankruptcy determine who survives – taxpayers should be burdened with failed home speculation by those who NEVER could afford the mortgage in the first place. We need to solve a more fundamental issue: personal greed and unwillingless to be honest with ourselves.

Posted by Henree | Report as abusive
 

The DemoRATS talk a lot about helping the middle class, but when it comes to acting, they act only to support the welfare cheats on the bottom of the ladder and the greedy pigs on Wall Street at the top of the ladder.

After the conservative Republicans put country first over their President and party, there is no doubt in my mind that the Republicans are better for the middle class.

OBAMA: Wall Street Business as Usual. Change you can laugh at and mock!

Posted by Richard Blood | Report as abusive
 

This is the most encouraging thing to happen in Washington since I can remember. Bailing out the banks and other businesses (even GM was going to get billions) would be like bailing out all the dot coms back in 2000. Let the Fed reap what they sew. This bubbles gotta burst and the people need to act to rebuild the right way, like we tried to do when we founded this country. Also, help to support open debates by visiting thirdpartyticket. com.

Posted by Jordan Beherndt | Report as abusive
 

A cabal of financial leaders

The Pujo Committee was a congressional subcommittee which was formed between May 1912 and January 1913 to investigate the so-called “money trust”, a small group of Wall Street bankers that exerted powerful control over the nation’s finances. After a resolution introduced by congressman Charles Lindbergh Sr. for a probe on Wall St. power, Arsène Pujo of Louisiana obtained congressional authorization to form a subcommittee of the House Committee on Banking and Currency. J. P. Morgan, George F. Baker, and other financiers testified.

After completing its investigation, lead by the Democrat lawyer Samuel Untermyer, who later also assisted in preparing the Federal Reserve Act, the committee issued a majority report that found that a cabal of financial leaders was abusing their public trust to consolidate control over many industries. Although Pujo left Congress in 1913, the findings of the committee inspired public support for ratification of the Sixteenth Amendment in 1913, passage of the Federal Reserve Act that same year, and passage of the Clayton Antitrust Act in 1914. They were also widely publicized in the Louis Brandeis book, Others People’s Money–and How the Bankers Use It.

“The creature from jekyll island” G. Edward Griffin

 

the republican party are defeat, the government don’t get the bailout rescue seriously because they will be protected the citizens

Posted by donotsay | Report as abusive
 

First, what’s the rush? The Secretary of the Treasury just woke up? The Fed and the Treasury were not doing their job. Sack them first, let the banks endure some of the pain they’ve inflicted on those they’ve conned into adjustable loans and credit cards. The Fed raised the discount rate from 1.25% to 5.25% over 24 months–savior or culprit? to combat inflation? who’s talking about inflation now? There will be inflation with all the money printed to bail out this mess. Congrats King George it’s really gone to hell under your watch and it’s good to see your own party ignore your advice today.

Posted by Kent | Report as abusive
 

I hope the defeat was a genuine “vote for the people!” Given the reported barrage of e-mails, FAX’s and phone calls that our Congress Members received from constituents voicing opposition to the bill and, further, given their responsibility of representing their constituents’ wishes, it was only appropriate and correct that they would have voted “NO!” I am interested to learn the identity of those who voted “YES” in order that I might do everything that I possibly can to see that they are not re-elected.

Posted by Hylott | Report as abusive
 

The bill–or anything like it–would not solve the financial troubles. However, if passed it would socialize failure, and surely destroy the capitalist system as we know it. Please members of Congress, reject it as many times as necessary.

Posted by Random Walking | Report as abusive
 

love all the ignorant comments on this, bottom line is this 1 trillion in value came out of the market today most of it in union pension plans, a number of large companies with union workers have already said layoffs are on the way, the rich will continue to make money regardless its only the middle class that will get crushed as always and I’ll still be eating cake

Posted by Harry | Report as abusive
 

I believe house voted for people. Why should taxpayers shoulder Wall Street’s excesses? If this business model is
not sustainable- why should tax payers support it? Bush administration ( and this congress) failed us on 9/11, Iraq war, Huricane Katrina and with this mess. It is hard to believe that they will get their act together this time.

Posted by Ruchir | Report as abusive
 

Wonderful news that the bailout failed!!!

The housing market needs the correction that the bailout sought to prevent because the average American cannot afford to purchase a home.

 

When “Flip This House” is a popular television show, you might want to think, “Hmmm, perhaps the mortgage market has gone too far.”

The dream of every American is to own their own home, rather than rent. Sub-prime mortgage lending gave many families the ability to finally realize that dream. Then came the inevitable greed of those who would take advantage of these loans and extend credit knowing those individuals were banking repayment SOLELY on the overexaggerated growth in housing value…buying more homes than they could possibly afford trying to reap the benefits of “flipping” another home and make a quick buck. Clearly, this was a recipe for disaster.

Did we as a market learn from this? Yes. Will we be expected as taxpayers to bailout banks who made such foolish decisions as to accept lenders with “stated incomes” and the like??? From historic decisions, yes…

This GRIP that corporations have on our government and lawmaking process has reached disasterous levels. We the people must prevent, like religious groups in our history, from letting powerful organizations influence the policies that dictate how we live here in America. Please, for the future of our children. Seperate government.

Posted by Colin | Report as abusive
 

Does throwing out the baby with the bath water sound familar? I do believe this bail out was designed to save some very corrupt organizations, bankers and very rich fools; however, many IRA’s, Pensions and educational funds also share the in the market. Today they estimated that 1.2 trillion dollars of value was lost. That means that many honest, hard working Americans were impacted as well as the corrupt guys. So we must be ready for what the future holds and everyone who applauded this action must also live with the results including possible unemployment, lower wages and possibly lost benefits. I guess some will view today’s actions as noble and patriotic. My concern is how many good people are tied to the stock market in this country. The next guy who suggests that social security should be invested in the stock market should be kindly escorted outside and treated like a drunken soccer fan!

Posted by EDWARD | Report as abusive
 

This was a vote for the people! The markets need to correct. Home prices need to correct. Credit needs to tighten. No bailouts for Wall Street!

Posted by joe | Report as abusive
 

777 ia a jackpot in Vegas.

 

People get ready for an economy slow down like you’ve never seen before. All credit will dry up in the US and good luck building a business or a house with out a loan. Complacity, greed and two terms of electing George Bush has turned your once great country into the biggest scammers in the world.

 

All those congress-men who voted Nay should be kicked-out of their office. They are playing with fire. They are un-patriotic.

All those people who thinks this is a “Wall-street bailout”, think again. This is really a “USA Bailout”! If this dont pass within this week you will realize the fact, but then, it will be too late!

Think about it.

Posted by raja | Report as abusive
 

Republicans who voted “nay” should be fired.

Posted by indo | Report as abusive
 

The more appropriate question is, “Who are the political cowards?”

One must remember that all 435 members of the House of Representatives are up for reelection each two years…but only a third of the 100 members of the Senate have their hat in the ring during each election cycle.

In 2002, the 81 House democrats who voted FOR the Iraq war resolution were political cowards (likewise the 215 republicans who also voted aye). You may recall that the vote came to the floor of both houses of congress just before the midterm congressional election in 2002. Mr. Bush planned it that way, in order to blackmail both female and male politicians into demonstrating how macho they thought they were as regards to sending Our Best & Finest to war. We all know what has happened in Iraq. Our Best & Finest have paid the price for the political cowardice on the part of the majority of the 535 members of congress. There were 6 politically courageous House republicans, 126 politically courageous democrats & 1 politically courageous independent in 2002.

In 2008, it is the House democrats who voted AGAINST the bailout/rescue bill (with safeguards such as they are) who therefore are the political cowards this time at bat…and even more so since the democrats elected the Speaker of the House, and therefore have the majority in the House to pass the bill.

In essence, it appears to be easier for privileged class politicians in congress to vote to spill the red blood of Our Best & Finest of the middle class & working class…than it is for those politicians to vote to spill the red ink of the privileged class Department of the Treasury (which could easily have its coffers replenished if the privileged class paid their fair share of taxes).

If Mrs. Pelosi thinks that shouldering the responsibility for the passage of the bailout/rescue bill will hurt her reelection prospects in her home district, she is wrong. If she thinks that it will hurt Mr. Obama, she’s wrong as well. What all democrats need to do is to step up to the plate and get this thing done (to include raising taxes on the privileged class (PC) in January to pay for it, i.e., PC to PC loan). If the democrat majority does step forward to be counted FOR the bill, perhaps then they can finally don the mantle of political courage.

OK Jack

 

I don’t think you guys understand the implications of not passing this rescue plan. It’s not about bailing out the financial institutions and their greedy CEOs. It’s about unfreezing the credit markets, so EVERYONE can borrow money.

Soon you will feel it even worse in your ability to get a loan, from credit card loans to loans to honest businesses. Small businesses run by honest people will go bankrupt. Mortgage rates will go up, and people will lose jobs in OTHER industries.

Posted by Willie | Report as abusive
 

Folks,

Did anyone give a thought on how we got to this point?

They blame it on the sub-prime debacle, mortgage failures, mortgage mess and the list goes on.

People were doing fine servicing the mortgages they originally had.

It is the loss of jobs of the homeowners or their spouse that resulted in people defaulting on the loans. This has to do with economy and uncontrolled government spending including several billion dollars a month in wars around the world.

The net result is there is little money left to spend on domestic programs, programs that benefit our own folks. The resulting loss on spending that would have created and kept jobs took away people’s jobs or resulted in people contending with low paying jobs. People could no longer afford to make higher payments and then defaulted on loans. In return the banks took a beating

You are trying to cure the symptoms not the cause with the bailout.

If this bailout would have passed, it would be like people climbing on the Titanic to save it.

The Titanic hit the iceberg. Let it sink and not take the world with it.

The market will eventually find a way to correct itself.

 

This was sent to me and it’s a better plan than the one before our leaders, perhaps it is not so far fetched….

I’m against the $85,000,000,000.00 bailout of AIG.

Instead, I’m in favor of giving $85,000,000,000 to America in a We

Deserve It Dividend.

To make the math simple, let’s assume there are 200,000,000 bonafide

U.S. Citizens 18+.

Our population is about 301,000,000 +/- counting every man, woman and

child. So 200,000,000 might be a fair stab at adults 18 and up..

So divide 200 million adults 18+ into $85 billion that equals

$425,000.00.

My plan is to give $425,000 to every person 18+ as a We Deserve It

Dividend.

Of course, it would NOT be tax free.

So let’s assume a tax rate of 30%.

Every individual 18+ has to pay $127,500.00 in taxes.

That sends $25,500,000,000 right back to Uncle Sam.

But it means that e

very adult 18+ has $297,500.00 in their pocket.

A husband and wife has $595,000.00.

What would you do with $297,500.00 to $595,000.00 in your family?

Pay off your mortgage – housing crisis solved.

Repay college loans – what a great boost to new grads

Put away money for college – it’ll be there

Save in a bank – create money to loan to entrepreneurs.

Buy a new car – create jobs

Invest in the market – capital drives growth

Pay for your parent’s medical insurance – health care improves

Enable Deadbeat Dads to come clean – or else

Remember this is for every adult U S Citizen 18+ including the folks

who lost their jobs at Lehman Brothers and every other company that is

cutting back. And of course, for those serving in our Armed Forces.

If we’re going to re-distribute wealth let’s really do it…instead of

trickling out a puny $1000.00 ( “vote buy” ) economic incentive that

is

being proposed

by one of our candidates for President.

If we’re going to do an $85 billion bailout, let’s bail out every adult

U S Citizen 18+!

As for AIG – liquidate it.

Sell off its parts.

Let American General go back to being American General.

Sell off the real estate.

Let the private sector bargain hunters cut it up and clean it up.

Here’s my rationale. We deserve it and AIG doesn’t.

Sure it’s a crazy idea that can “never work.”

But can

you imagine the Coast-To-Coast Block Party!

How do you spell Economic Boom?

I trust my fellow adult Americans to know how to use the $85 Billion

We Deserve It Dividend more than I do the geniuses at AIG or in

Washington DC .

And remember, The Birk plan only really costs $59.5 Billion because

$25.5 Billion is returned instantly in taxes to Uncle Sam.

Ahhh…I feel so much better getting that off my chest.

Kindest personal regards,

Birk

T. J. Birkenmeier, A Creative Guy & Citizen of the Republic

Posted by Eileen | Report as abusive
 

This is not a time to panic and do the wrong thing!

Suggestion: Wait and let more of the “junk” Wall Street Financials head south. Let them die!

Question: Are some of the current problems caused by some of the same people who caused the S & L problems years ago?

Posted by Gary Beedon | Report as abusive
 

If you you could believe that this deal would bring real reform I would be for it, I am however in favor of letting free enterprise use it’s inginuity to get out of this mess. It seems to me there is plenty of money around, Chinese, Saudi’s ect… just bring everyone to the table and a solution will be found, it’s the american way right?

Posted by Bernabe Somoza | Report as abusive
 

citizens will be pay the catastrophic defeat economy, while mister G.W. Bush smile and drink a bottle of whisky

Posted by nemadesik | Report as abusive
 

Disaster, Disaster, I’m going to throw up.

Posted by Gene | Report as abusive
 

I believe that the decision has succumbed to such because it is so necessary to stabilize the market. It is much greater than just seeing it as Americans taking out mortgages that they can’t afford. It is amazing that in tough times, how the fingers start to point. True enough no one should put themselves in a situation in which they borrow more than they can afford to pay. But we see it everyday in basic credit cards, there are many Americans that have more credit cards & debt than they can afford. Is this any more responsible than those individuals that took out mortgages that they couldn’t afford? There should have been regulation of the banks in the first place that would not allow them to give such outrageous offers. It is my desire that both parties put aside the disdain in order to do what is necessary for the economy. I don’t totally agree with the proposal; however, do deem it necessary. I do believe that it needs adjustments – such as a committee oversight versus the power which would solely give to the Secretary of the Treasury. There always needs to be checks and balances. From what I’ve heard, the Democrats also believe that this was too much power left in the hands of one man. I believe that by stating it is not over, was in regards to addressing that component of the plan and that there would be future amendments to the bill upon its passing. Regardless, of any partisan statements – each party should do what is necessary for the nation. This was simply not done. What happen in the voting process was folks being too touchy – and perhaps even feeling a little guilt. If you were so on board with how you were going to vote, then how is one person’s speech going to suddenly make you change your vote. Perhaps, you were never fully convinced. Pure stubbornness is what halted the passing of this bill. Come on now – we are talking about our financial institutions – which in actuality affects us all – unless you still store your money underneath your mattress. Unfortunately, most of America is not watching C-SPAN to get a more factual picture, and will be at a disadvantage when trying to understanding everything that is going on. It is very necessary to pass a bill regarding this matter; nonetheless, it has to be a sound bill – no imbalances, no loop holes.

I also think that the contracts of the CEO should be voided. There should be no million dollar golden parachutes. Also believe that it may be best to let the greed those crooked on wall-street feel the effects of their actions a little longer. Or else, how will they ever learn?

Posted by Star | Report as abusive
 

NO BAIL OUT. Sanford Bishop,D-GA, I KNEW YOU VOTE YES TO THE BILL, I WILL NEVER EVER VOTE FOR YOU AGAIN! ON TOP OF THAT I WILL VOTE FOR WHO EVER RUN AGAINST YOU.

Posted by Hattadol Jatuyata | Report as abusive
 

This looks like a disaster, which could lead us all into a depression – when most of us could easily lose our jobs no matter which sector we work in.
The financial system is the cog in our economic machine and when it is jammed, nothing good can come out of it.
I don’t think many people understand how urgent this is. In a week, we see WaMu and Wachovia gone down. Imagine what could happen in another week or month or year?

Posted by David Sakti | Report as abusive
 

To the comment by Mike of the 700 billion dollar bailout being 250,000 per person…..just goes to show how ignorant we all really are…… 700 billion divided by our population of 300 million would be a tad over $2000.00…..I think that we all could benefit from not being taken in by everything we read. As for the bailout plan….we will feel differently when we all start losing our jobs….this will happen….just as it did during the great depression.

 

I am ecstatic that the bailout did not pass. I have absolutely no interest in helping a bunch of crooked, greedy and inept businessmen who are make more in one week then I do in an entire year.

The unholy trinity between big business, media and the politicians is absolutely corrupt. Reuters is actually one of the most objective sources for news these days (NPR too.) Fox, CNN and MSNBC are all spinners for various special interests.

I do find it interesting that 1) people are blaming the Republicans, when, in fact, 95 democrats voted against it and 2) no one seems to be mentioning the fact that the Federal Reserve pumped $630 billion into the markets even though the bill was voted down. Anyone care to explain that? Why have a bill if the Fed Reserve can do whatever it wants in the first place? I’m confused.

 

To Birk,

The math is simple…..and you can’t do it….how irresponible to pass on something like that…..700 billion divided by 200 million is a tad over $3000…..per person…….I say support the bailout so you can get a loan to go back to school….!

 

What the hell is goining on with AMERICA today we had a 4 trillin dollar surpluss and now we are broke? come on people let’s get it together and get with the program… OUR children and grand children depend on it lets all come together and figure this out without pointing the finger… PLEASE…

Posted by Shawn in Oregon | Report as abusive
 

SMOKE AND MIRROR AGAIN BY PRESIDENT BUSH

All economic pundits from such high seats of learning as Princeton University, Harvard University, Stanford University and Wall Street are not trying to name the fundamental cause of the current problem. They are all beating round and round the bush but not wanting to name the ugly word that is really causing this colossal economic problem. It is a four letter word named “JOBS” in the English lexicon. Today’s artificially created economic crises actually stems from the manipulations of the market by a mighty few to the detriment of the lowly weak.

It all emanated from the lack of jobs of people who actually went and borrowed from the sub prime market because they had no way of seeking sustenance but turn to easy money by mortgaging either their houses or their businesses with whatever residual value there was because the basic requirement of the mom and pop lender was no income verification and no background check. The ruthless lenders charged the desperate people huge closing fees and charged them upto 35% interest rates in almost all cases. The government of the lobbyist, by the lobbyist and for the lobbyist turned a blind eye to one of the most irresponsible money lending practices in the market place. The worst irony is that till today not a single mom and pop lender or the companies that backed these sub prime mortgages have gone to jail. That is the system that we defend.

These jobless people were not even on the radar screen of the labor department statistics and hence they were not counted in the employment market. If they returned to work it was at McDonalds or Wall Mart reflecting minimum wages in the job market. That figure was surreptiously counted as a lofty figure to beam to the world and the money market that the jobless rate stood steady or good. Thanks to Mrs. Elaine Chao the great labor secretary, who spent most of her time, cutting ribbons and giving lectures. Congress never asks them for their quarterly performance report. In the private sector, we have to submit our quarterly performance reports to our bosses for our job evaluations, promotions, salary increases and bonuses. These highly paid comfy sitting people whose salaries are paid by the taxpayer money is never brought before the benches of congress unless or until there is a crisis in their department that has leaked into the attention of the press and the public.

The sub prime market truly seemed to follow the fundamental ethos of the capitalist ideology i.e. Freedom to practice sale to whoever has the ability to buy goods or services in whatever way possible. This practice totally deliberately escaped the attention of the regulators and the government because it was all backed up by the Wall Street geniuses. Just imagine if the mafia did the same thing of lending money at 35%, then it would be characterized as loan sharking. But when the Wall Street gurus engaged in this practice, it was named as sub prime mortgage!

Frankly speaking all the players at Wall Street are nothing but common street thugs. The only difference between them and the mafia is that they sit in ivory towers surrounded by high tech gadgets and high tech communication network and they wheel and deal with the high and mighty and they have Mr. Henry Paulson former CEO of Goldman Sachs, now sitting as Treasury Secretary in the Federal Government (which mind you is an unelected post with unlimited monetary powers) to watch the coop for them.

If this analogy of street thugs is not right then what would you call money lending without income verification and background checks? The small street side mortgage lender was the front man for the wall street honchos to do their dirty job to lend out money at 35% interest rates without income verification and without background checks. All they needed was collateral even if it had only residual value.

The unemployed guy whose well grounded and traditionally characterized manufacturing and service jobs in the economy was no where available anymore. It just got outsourced by greedy businesses who wanted to fatten their pockets with huge margins by outsourcing it to cheap labor markets like China and India. What were the locals supposed to do when the private entrepreneur shifted their entire manufacturing plant and machinery to places like Mexico, China and India where they got them to manufacture sub standard and cheap assembly line products at massive volumes at very cheap prices so that they thought they would be able to sell it back to the same unemployed guy in the United States whose buying power had diminished to zero.

It was Henry Ford the founder of the Ford Motor company who when he built his automobile plant in Detroit, Michigan pointed out to the simple theory that if he built the plant around the local workers in his district, then he would have put enough money in their pockets so that they in turn would have the ability to buy his cars. Isn’t that philosophy still true today? But greedy entrepreneurs the likes of Microsoft, Intel, IBM, Accenture, HP, Oracle and others started sending out the work overseas to have them done cheaper so that they could fatten their margins and sit pretty comfortable in their own domains totally oblivious with a don’t care attitude to what happened to the local American whose job got outsourced. Isn’t that akin to what Marie Antoinette did in France?

Just as the Government wants to intervene vehemently in the AIG, Lehman, Bear Stearns and others downturn, they should similarly vehemently intervene in the stoppage of the outsourcing of American jobs overseas. It should be the constitutional responsibility and the moral duty of all American companies to ensure that they keep their own citizens employed first. Without employment for the local citizens, how can they have the buying power or the borrowing power to further move the economy forward? This calamity and meltdown today is the direct effect of the outsourcing of our jobs. The government must first guarantee forgiveness of all the mortgages of the common man. Those 700 billion dollars could easily build and repair all our dilapidated roads and bridges and create a total renaissance in our economy. Let AIG, Lehman, Freddie and Fannie and others at Wall Street, simply die and let us bring to justice all the manipulators who did this to us.

What a shame, we outsource the majority of our manufacturing and service jobs to China and now we are shamelessly borrowing billions of our own money from the same people at high interest rates. While their economy and their lifestyle is booming with our money and our jobs, our economy is tanking because what is processed and manufactured in China has no buyers in America. Americans without jobs went on a borrowing spree in the sub-prime market where there was no income verification and no background checks just to feed and clothe themselves and now this calamity.

The President and his coterie of advisers who consist mainly of lobbyists are once again playing the smoke and mirror game with the people of America. Let it be very clear, that the majority of the common folks in America who have their 401 investments are mostly invested in the manufacturing and service industry. Their money is not invested with Lehman, AIG or Bear Stearns. It is the pitiful money managers of state pension funds who played into the hands of the likes of Lehman, AIG, Bear Stearns, Morgan Stanley and Merrill Lynch that they are now panicking and asking us to bail them out because they squandered our nest egg savings in the Pension Plan. What a catharsis this is. These companies are mere Security companies whose modus operandi is based on greed and fear. Everyday they live on this mantra alone. WHY SHOULD WE THE TAX PAYER BAIL OUT GAMBLERS ON WALL STREET?

The truth of the matter is that the guys whose vested interests and millions of dollars of borrowings are those that the President’s father Bush 48 whose conglomerate the Carlyle Group and others which makes heavy armored tanks and other armaments in the Iraqi front are the ones whose money has been squandered by Lehman, AIG and Bear Stearns. We the tax payers must not come to their succor. Let them go to their demise.

The machinations of the market is based on greed and fear. The American tax payer’s money should not in any way go to support greed and fear. We hated the communist and the Socialist. Now why are we practicing Socialism in a capitalist country? This is pure Socialism plain and simple. The Republican Party stands for less government and more personal freedom and less government regulation and less government involvement in the lives of the market and the people. We are going against our fundamental ideology that of capitalism. President Bush and his gang is once again trying to hoodwink the American public and he is pressuring the people’s representatives to go along with him just as he did in pressuring them to vote for the Iraq war, which was based on lies, falsehoods and demagoguery. It is high time, the public of the United States came out of their closets on to the streets and have a people’s court trial of this President and put him in jail. He has unilaterally put this country on the downhill track through the massive military spending in the Iraq war which was not justified and hence he is accountable and we the people must take over the citadel now and call for the trial of President Bush immediately. We must vote out every Congressman and Senator who votes for this bill. Enough is enough. The American Public cannot swallow this type of bitter pills anymore.

The SEC chairman must resign immediately and a thorough investigation should be carried on by the FBI of all the corporate leaders and traders. Money is definitely sitting with some crooks somewhere. We have to unearth it. It did not and cannot disappear into a black hole. We have to put all of these crooks and manipulators in jail and throw away the keys forever.

Sam Farquhar
Sam.farquhar@yahoo.com

Posted by sam farquhar | Report as abusive
 

Now that the congress has rejected the bail out bill, what is going to happen – is this in countries interest? where is the economy headed?

 

Bush, Paulson, Bernanke, McCain, Obama and 209 Congressmen tell me what a mess our financial system is and how we must IMMEDIATELY and without question loan 700 billion dollars to Wall Street (talk about easy credit!), or the country as we know it is down the drain. Does it strike you as odd that all these folks who profess to know the answer didn’t even know the problem 4 weeks ago?

Posted by Susan | Report as abusive
 

Here’s a thought…along with letting Wall Street Big Buckeroos find their own way out of this mess, let’s think about the Congress who either refused or forgot to regulate the people who did this to us. There is too much power in the hands of multi-term politicians in Washington. Get rid of all the Incumbants, and let a group of new,hopefully less corrupt, guys start without all the years of power, corruption, and control that Congress now has. Oh and by the way…neither my wife or myself have been able to find work since may…I’d love to know how a downturn in the economy could hurt us any more than we are now….

Posted by Eddie | Report as abusive
 

Let’s not forget how this whole mess started – people with lousy credit being allowed to obtain mortgages to buy homes. They had no financial business taking on that responsibility, but a combination of their ignorance, political favoritism, and banker greed spun us to where we are today. Bail out people because they took on loans they shouldn’t have? Bail out some Wall Street firms because they cooked books and took advantage of ignorant borrowers? They should all be allowed to go down the drain. It’ll be a good lesson to the rest of us that we should not overextend ourselves. Capitalism and America will survive with a few less banks and a few less homeowners.

Posted by Rick | Report as abusive
 

I would like suggest an alternative to the bail out of the United States Banking and Financial Institutions.

Instead of giving the Unites States’ Financial Institutions the money to clean up the mess they have made, a temporary agency could be set up and run by the U.S. Government which would use the proposed bail out money to supply low interest debt consolidation loans to the taxpayers to pay off their existing debt. This would generate more money for the financial institutions and they would not need a bail out. There would need to be guidelines for the low interest loans to the tax payers such as:
1. Debt Consolidation for existing loans only.
2. Proof provided to show existing debts are paid off.
3. A time period set for anyone receiving the debt consolidation loans in which they could not generate new debt.

It seems to me that if the tax payers are going to have to pay for this mess anyway they should receive some benefit from it. I don’t aagree that we should have to pay for everyone’s mistakes.

Posted by Bonnie Patterson | Report as abusive
 

Why is it that the people who cannot pay their way live in a poverty trap? It’s because they are not paid enough for the work they do. Why aren’t they paid enough? It’s because the Rich and Powerful are running away with all the money. Hence the Slump.

Posted by Jim xxxx | Report as abusive
 

From my distance observation, the present financial problem is abstract. I would very much appreciate if you could clarify the following questions:
l. As I understood Wall Market is run by certain stock holders, if I am wrong, please correct me; and if that is so, why the government gets involved to bailout? Is there a Controller between government and them?
2. Why did they wait so long? Why the government reacted now? Why not earlier before the thing gets worth?
3. What would be the future assurance for the market to survive?
4. The market fluctuate every time, is there any remedy for that?
5. Who would be paying this huge amount of 700 billion dollar? How long would it take?

Thank you

 

“Perfect Storm” Next Bailout?
City of Vallejo, Ca. files Bankruptcy, State of California Broke!…What Municipality is next?

States, Counties, Cities, across this country…

With high property foreclosures, Job loss, Business closures & revenue declines is the recipe for the “Perfect Storm” No Municipal tax revenue (Property Tax, Income Tax, Sales Tax, No New Bond Buyers or Loans available etc.) which can cause a Municipality to file bankruptcy.

What problems does this cause?
1. Limited to No funds to pay for daily operations, i.e. Administration, Police, Fire, Medical, Teachers etc.
2. Large Losses to Wall Street Investors, Pension Retirement Funds, Municipal Bonds are up to 50% or more invested into 401k’s.
3. Extreme cases, “Temporary Chaos”

Posted by Lew | Report as abusive
 

I truly think this has been thought out very carefully by the democrats, given it a election year. If you remember the first round of the bail out most republicans voted against the bailout but after they added the pork, that to they’re very own demise the republicans have become so damn addicted to, they then went ahead and voted for it. Just what the democrats wanted. The more this administration is in debt, the better it looks for Obama, even though he himself and Acorn helped to get this mess off the ground. This has been a big plan as far as I am concerned and very well thought out.It sickens me to know that out elected officials are so concerned with power that they would do this to the American people.
Posted by Sickened Susie

Posted by susie | Report as abusive
 

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