Wednesday, November 12, 2008

Jesus take the wheel

This bailout was a huge mistake. Paulson has realized that stealing money from taxpayers and buying up extremely risky financial assets was a bad idea. In light of this, Paulson is changing course and is now considering lending the money that he stole from taxpayers back to them:
The government has abandoned the original centerpiece of its $700 billion rescue effort for the financial system and will not use the money to purchase troubled bank assets.

Treasury Secretary Henry Paulson said today that the administration will continue to use $250 billion of the program to purchase stock in banks as a way to bolster their balance sheets and encourage them to resume more normal lending. He also announced that the administration was looking at a major expansion of the program into the markets that provide support for credit card debt, auto loans and student loans.
Paulson said 40 percent of U.S. consumer credit is provided through selling securities that are backed by pools of auto loans and other such debt. He said these markets need support.

"This market, which is vital for lending and growth, has for all practical purposes ground to a halt," Paulson said.


The gummint got us into this mess by trying to "fix" the housing market, and now they are trying to "fix" the credit markets. At the end of the day, "free markets" will be blamed for all this crap and the government regulators who cause and continue to prolong the agony will be portrayed as economic heroes.

2 comments:

Anonymous said...

So, voters: Are we going to be ready to hold accountable each congressperson and senator for voting in favor of this disastrous plan?

This vote alone is indication of whether or not your rep really works for you. Alone. Nothing else could matter as the national website crashed that so many of us used it to lodge complaints.

We citizens knew not to do the bailout and they didn't listen. This vote can be used as a barometer to detect who the reps work for and who should be voted out.

Of course, that is not what happened on Nov 4. When will we learn?

PZGURU said...

Apparently only republican Congresspeople are being blamed, as evidenced by their defeats and the re-election of guilty democratic congresspeople. Not saying that republicans don't deserve some blame, but certainly not all of it. It was, after all, Senator McCain who 3 years ago proposed legislation to address the FMae and FMac problems which are the core factor for this mess. And, who blocked his proposed legislation? The dems on the Finance and Banking Committee.

Congress ought to get laid off instead of us average joes. Think of how much money would be saved by not having to pay these idiots for their "hard work".