Comment: Stock plunge pressures lawmakers on bailout
Since this record effort has, in my view, been about propping up the stock market, we can expect that Wall St. fat cats and political contributors are putting maximum pressure on lawmakers. However, the folk from Main St. are pushing back hard themselves.
Record numbers of calls, faxes and emails are inundating congressional offices rebelling against $700 billion plan. Newspapers are also receiving unprecedented volumes of mail, mostly derailing the bailout proposal.
House Republicans voted strongly yesterday to dump the plan, but 95 Democrats also rejected the bailout. Conservatives complained that the proposal interfered with the free market, while the Democratic opposition tended to call for more assistance on Main St. Both sides agreed that judicial oversight was needed.
What the current proposal offers is a fix for 5 million homes currently at high-risk of default. However, there are tens of millions of mortgages still expected to occur in the coming years. Is this bailout simply a 'first installment' of a much larger plan to save Wall St.?
|Play Economic bailout plan: Who profits? AP via Yahoo! News - Sep 29 3:36 PM||Reuters||Play House to reconvene Thurs. after bailout defeat AP via Yahoo! News - Sep 29 4:02 PM||Play Local Lawmakers Votes On Bailout Mixed KDKA Pittsburgh via Yahoo! News - Sep 29 8:33 PM||Play House rejects bailout plan Reuters via Yahoo! News - Sep 29 4:09 PM|
Labels: financial bailout