Bailout

We are all Socialists now. Congress just sent Bush a $700 Billion check that he signed before giving it to former Goldman Sachs CEO and current Secretary of the Treasury, Hank Paulson. Presumably, he will use the money to clean up the big shitpile, also known as "toxic assets."

Suddenly it seems everyone is a regulator and fingers are flying fast and furious. The most absurd is blaming the Community Re-Investment Act forcing banks to lend to minorities and "other high risk individuals." I'll not even debate such absurd claims made by people who have no idea what they are talking about. This does put a period, nay a tombstone, on the republican mantra of de-regulation.

I have often wondered why those who do not believe in government desire public office.

What is needed now are serious and reasonable government regulations of our financial industry. This massive bailout bill should forever stifle those claims of evil government versus good markets. Those screaming the loudest about the evils of government were screaming the loudest for a bailout.

Say it with me. Government does have a role to play regulating the financial sector.

After the great depression very serious people with a very serious mission looked at this issue and decided a firewall must be erected between commercial banks and investment banks and insurance companies. This firewall was removed during the waning years of the Clinton administration, coupled with several other deregulating measures.

The result is a seven hundred billion dollar shitpile fed to the American taxpayer. Enjoy.

McCain Suspends campaign

Republican presidential candidate John McCain will suspend his campaign tomorrow and return to our capitol to resolve our national credit crisis. According to his statement today, partisan rancor is the problem:

[...]
I am calling on the President to convene a meeting with the leadership from both houses of Congress, including Senator Obama and myself. It is time for both parties to come together to solve this problem.

We must meet as Americans, not as Democrats or Republicans, and we must meet until this crisis is resolved. I am directing my campaign to work with the Obama campaign and the commission on presidential debates to delay Friday night’s debate until we have taken action to address this crisis.

I am confident that before the markets open on Monday we can achieve consensus on legislation that will stabilize our financial markets, protect taxpayers and homeowners, and earn the confidence of the American people. All we must do to achieve this is temporarily set politics aside, and I am committed to doing so.

Following September 11th, our national leaders came together at a time of crisis. We must show that kind of patriotism now. Americans across our country lament the fact that partisan divisions in Washington have prevented us from addressing our national challenges. Now is our chance to come together to prove that Washington is once again capable of leading this country.
(emphasis added)

I understand the senior senator from Arizona wanting to appear like a leader and all mavericky and stuff, but the problem here is anything but partisan squabbling. The problem is credibility and incredulity.
The current crisis was announced in the shadow of the 7th anniversary of Bush's 1st crisis, 6th anniversary of his 12th crisis, 5th anniversary of his 23rd crisis and 2nd anniversary of his 134th crisis. The crisis management administration managed to lurch from from crisis to crisis, each and every one full of scary brown people farting mushroom clouds capable of breeching levee's.

With an expression like a bull looking at a new gate, our Rexall Ranger Commander Guy proclaimed, "No one could have anticipated...(insert crisis here)," and would embark on a policy binge of disaster capitalism for his clients. Every. Single. Time.

Hence, the credibility problem. See, trust is like virginity, once you have lost it, you're fucked.

Many Americans bought the claim that by being invaded by 19 fanatics with box cutters, who did tremendous damage, we faced an existential threat to end all life as we know it. Many others merely got drunk on blood lust.

Now, we are told by the same administration that another existential threat exists right around the corner that threatens to end all life as we know it. Only this time it is not scary brown people, but venture capitalists and unregulated mortgage brokers. They broke our economy but can fix it, maybe, if we give them a trillion dollars.

That's the incredulity part. So John, the problem isn't partisanship. The problem is the rage these guy's are hearing from the phone calls they are getting from home. It isn't the politicians that need to be convinced, it is the public and that will be a very hard sell. I for one say no deal.

Simple Question

Bush has pointed to his tax cuts on numerous times taking credit on economic issues. Someone needs to ask him about this current meltdown, namely, is he responsible or irresponsible.

Ask the question

Myopic

Something seems to be seriously wrong with the "solutions" being catapulted out of Washington for this economic crisis. All rewards are directed at about a dozen or so firms in the financial services industry at the expense of the 300 million citizens they serve. It is for our good we are told so we should give them About $3,200.00 (and rising) from every man, woman and child in America.

Everything in this country was created to serve the citizen; a country where the law is king. The government is of, by, and for the people of the United States. Where did the idea come from that the citizens are hostages to incredibly stupid people and we must pay a ransom or something Worse! Than! Ten! Hitlers! will happen?

If a company is too big to fail then they should not exist--start enforcing the Sherman-Clayton anti-trust act. All golden parachutes for fleeing executives of companies they have crushed must be confiscated by the United States Treasury. Any CEO compensation of companies doing business in America greater than 50 times the amount of the average worker they employ shall be taxed at a rate of 95 percent. Any company receiving so much as a nickel of bailout money must show that the entire board, CEO and all of upper management has completed an approved credit counseling course (like, you know, regular folks filing for bankruptcy, just for humiliation). All corporations are stripped of citizenship.

Those are just a few ideas. Really, congress has got to hear from us regular folks or they will give Hank Paulson a seven hundred billion dollar blank check of taxpayer dollars to reward his Wall Street buddies for their colossally bad judgment. Does anyone think this is a good idea? Does anyone have strings they would like to hook to the money? Let me know what you think.