Barack Obama said today that “he believed Congress would ultimately pass a proposed $700 billion financial bailout deal, despite its initial rejection by the House of Representatives.”
“I’m confident that we’re going to get there. It’s going to be a little rocky,” said Obama, who added that “things are never smooth in Congress.”
The Democratic White House hopeful said he had spoken by phone with Treasury Secretary Henry Paulson, House Speaker Nancy Pelosi and other lawmakers following the rejection of the measure by the House.
“The stability of our entire economy is at risk so we’ve been left with no good options,” he said.
Obama also “urged Americans and the financial markets to remain calm after the bailout deal failed, provoking a drop of about 5 percent or more in many U.S. stock market averages.”
It’s a mess. It’s a big mess that now includes the Dow dropping “nearly 778 points, in the biggest single-day point loss ever.” It needs to get fixed, but I am not inclined still to think the big corporate ho’s on Wall Street should be rewarded from the bail out. No way, no how… They are the problem.
As Barack Obama noted today, the long advocacy of deregulation from Republicans, including John McCain, has “contributed to the current financial crisis” and letting McCain “continue those policies as president would be a gamble “we can’t afford.””
It’s official… We are a “Banana Republic” at this point, as Krugman explains:
For reasons I’ve already explained, I don’t think the Dem leadership was in a position to craft a bill that would have achieved overwhelming Democratic support, so make or break was whether enough GOPers would sign on. They didn’t.
I assume Pelosi calls a new vote; but if it fails, then what? I guess write a bill that is actually, you know, a good plan, and try to pass it — though politically it might not make sense to try until after the election.
For now, I’m just going to quote myself:
So what we now have is non-functional government in the face of a major crisis, because Congress includes a quorum of crazies and nobody trusts the White House an inch.
As a friend said last night, we’ve become a banana republic with nukes.
I don’t pretend to know what the fix is, but if we don’t find one, we’re screwed. Greed and avarice, BushCo and the Repubs love of deregulation and corporatism has brought this country to it’s knees. Citigroup bought out Wachovia today… Who’s next? And who, who will bail out the little people, because in bailing out Wall Street, when we do, there won’t be anything left to help the small businesses who are suffering in the wake of this debacle.