The Economic Crisis - Now What?

http://www.americanprogress.org/issues/2008/09/conservatives_pain.html

http://www.americanprogress.org/issues/2008/09/real_solutions.html

Michael Ettlinger of the Center for American Progress offers his take on the latest news out of Washington and the financial markets after U.S. Treasury Secretary Henry Paulson and President George W. Bush yesterday failed to convince a majority of their own party in Congress that the consequences of failing to pass their $700 billion financial rescue package could be catastrophic for the U.S. economy. The American people over the next few days will catch a glimpse of the consequences in financial markets, at their hometown banks, and at their jobs, but should congressional inaction persist we may not experience the full brunt for a month or more.

Thats why these next few days will be so telling. If those who opposed the rescue package in Congress do not feel responsible for the leading edge of the problems they have allowed to grow—as prices fall, borrowing costs rise, and more and more small- to medium-sized companies and financial institutions are unable to access credit—then they are unlikely to change their minds about the bailout plan. If their constituents do not get antsy as the problems of Wall Street start to spread to the companies they work for and to their own access to credit, and they do not demand action—no action may be forthcoming.

Will the financial markets spook enough of the dissenters to change their vote on the bill, which fell only 12 votes shy of passage? That probably depends most immediately on how dramatic the reaction is in the commercial paper market, which was largely done with trading yesterday before the bailout bill went down to defeat. This vital credit marketplace—where companies tap short-term credit to smooth out their cash flow needs to make payroll and pay suppliers in a timely fashion—could react sharply today. This mornings record high for the benchmark London Interbank Offer Rate—the rate at which ...

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[qminusis]

C'mon man, get a real job!

The shoemakers, farmers, bakers etc. will survive, not the blah blah makin' consumption dump heads ...

[ravman690]

THIS IS ALL AMERICA'S FAULT! its theyre fault business are going bankrupt, AMERICA FUCKED UP THE WORLD.

[KhmerD0g]

u are an idiot saving wall street in the name of main street.

[Stan1208]

Have you trusted Barack Obama as your personal saviour? Say this prayer with me:.

Oh heavenly Barack. I confess my sins. Please save me. In the name of Barack Obama, Amen. If you just prayed to receive Barack Obama as your personal savior, please tell a friend.

[ehswan]

This video does not address the core problem. That is a debt based economy.

[play2k2000]

PORK really is "blackmail for supporting the bills" issue, most of the time!~ And with over 400 reps, that adds up to a lot of pages, and a lot of pork. NOT To mention 100 Senators! For instance: Obama in 1 year = $1 BILLION. Multiply that X 532 and you have 532 BILLION IN Pork and a couple thousand megabytes of paper and confusion! EVERY YEAR!

[play2k2000]

Remember too. The BIG Problem with pork is that it tends to sneak into bills that have nothing to do with what the pork is going to. Hidden within the legal speak, Pork turns bills into 4,000 page monsters. One example would be the 3 page bailout guidelines morhing into a 432 page monster, 428 having nothing to do wit getting our money back. But, somehow manages to get a few $Million for Acorn and some "give me your votes" projects for Joe Biden's Delaware!

[chapmando2007]

Congress did not care about the secretary having all those powers. They just wanted to make sure they got their cut(pork) also. No one on the democrat's or repulicans seem to care much about the people.

[tsenzei]

Fortunately we don't have to choose?

[DrDjDomnation]

Aw the legacy of the bush administration...what would have been worse, the failure of Iraq or this?