Bailout Bill: First Victory in a Long Battle
by Capitol ConfidentialYesterday, Republicans held firm against bailouts to big banks and Wall Street. They held firm against creation of a super regulatory bureaucracy. They held firm against a massive government intervention in our economy. All in all it was a good day.
But a word to the wise: DO NOT SNATCH DEFEAT FROM THE JAWS OF VICTORY.
Republican leaders have been making noises about a compromise measure for a week. Now is not the time to get weak.
The Democrats continue to deny the bill is a bailout. But they are slowing losing that battle.
NPR said:
“A vote for reform is a vote to put a stop to taxpayer-funded bailouts,” Obama said in his speech in New York on Thursday.
I cannot find any experts — of any party — who are willing to agree with Obama on this one.
“We’re not seeing a very forceful step on the too-big-to-fail problem,” said Carmen Reinhart, an economist at the University of Maryland. “If there’s any doubt that the crisis may be systemic, we will bail out again.”
So, if a major bank says, “Hey, save us or the economy will go under,” the government’s going to save the bank. Full stop.
The New York Times said:
Unfortunately, the leading proposals would do little to cure the epidemic unleashed on American taxpayers by the lords of finance and their bailout partners. The central problem is that neither the Senate nor House bills would chop down big banks to a more manageable and less threatening size. The bills also don’t eliminate the prospect of future bailouts of interconnected and powerful companies.
Too big to fail is alive and well, alas. Indeed, several aspects of the legislative proposals sanction and codify the special status conferred on institutions that are seen as systemically important. Instead of reducing the number of behemoth firms assigned this special status, the bills would encourage smaller companies to grow large and dangerous so that they, too, could have a seat at the bailout buffet.
But even without any bailouts, this bill is a behemoth that creates new bureacracies and empowers the government right down to the level of monitoring individual consumer’s transactions. This is a fight worth having. Republicans must hold the line. Democrats need to hear the message: American’s have had enough of bailouts, handouts and takeovers. The government is not the solution.
Let Dodd and Obama rattle the sabers. Republicans achieved a great win yesterday. Now, lets don’t win the war and lose the peace.
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336 Comments
Anarchy has become the law of the land.
Delay all bills as long as possible until November. We can not trust anything they say the the bill is about. Come November when the Dems lose majority, the real Obamao regime will show its agenda. The country will be glad that bills weren't passed. Obamao will then try to circumvent the other branches and use his czars, agency heads, and presidental orders to try to pass his agenda. If this fails, he will then split the country amongst race and seek total chaos.
Get Out Of Our House.
http://goooh.com/
A sight to organize against career politicians, and bring back citizen representatives.
God Bless America
I am glad that we have one a battle.. the big BATTLE will be in November…. we need to try and keep this up until we have the floor with our VOTES…..
WE WANT LESS, LESS GOVERNMENT!!!!!!!!!!!
“A vote for reform is a vote to put a stop to taxpayer-funded bailouts” – Barrack Obama
Guess he forgot about the two 800 pound gorillas in the room, Fannie Mae and Freddie Mac- not a word in the bill about them.
A few government bailouts late but I'm very welcome to see it!
Speaking of Obama mistakes and defending ourselves from them. Lets take one from Obama's playbook. Volunteer for a running candidate of your choice and who you can believe in. The democrats brainwashed the masses to empower themselves and I can't find anyone who doesn't have buyer's remorse. Support your representation and give the masses contrast in the narrative.
Conservitivism needs support. Support something you can believe in.
The bill bans bailouts, you idiots.
Certainly, my entire gated community owes Senator McConnell a round of applause! Keep up the good work.
Let me repeat my comment from yesterday:
Government + Liberty = Constant
More of one means less of the other.
anon people are so stupid. Even when they try to hide by spelling backwards.
Read the bill! The President says the GM bailout worked! He loves bailouts.
The "anonarchist" has appeared on the Bigs, oh my, whatever shall we do now…?
Go jump off a rock anon!
This was not a victory for Republicans. Americans are demanding we regulate the financial markets and Republicans are ceding the issue to the Democrats. This is going to pass, and now when it does it will look like a great victory for the president and the Democrats in the congress.
Could you please show us the proof please??? If not, please refrain from calling people idiots. You, however, are a "useful idiot." Look that one up.
Anarchy is about as far-right on the political spectrum as you can go. We're not even to libertarianism yet. We are very much in the middle of Progressive Bedlam, waaaaaaay out to the left.
Yeah, like the Healthcare reform bill will "lower" costs and "expand coverage"! HA! Idiot.
No they're not. Americans want the existing laws enforced. It's another power grab by Dems, that's all. Americans have had enough.
1. Americans are not demanding it.
2. Republicans are not ceding the issue by refusing to impose additional regulations.
3. I doubt it will pass, but if you know it will pass, you need to start betting on horses or something. Put that crystal ball to use!
4. The bill, if passed, will further undermine the free market. That is no victory for the Dems, as we've already seen what price their other victories have cost them — in terms of their polls, the radicalization (i.e. towards statism) of their own party, and the loss of their right flank. In short, we are now seeing another exodus of centrist and right-of-center Democrats. The last time that happened the Republicans held the presidency for 12 years. Again, that's not victory.
SQUAWK … Daily Kos Talking Point (joy) … SQUAWK
SQUAWK … Delusional filter engaged … SQUAWK
Ah here you go little Mickey, nicely read form your daily e-mail alerts, finally something your were told to talk about, here have another Podesta drenched piss cracker to munch on
SQUAWK … BUSHES FAULT! … mickey happy, Squawk … squawk
Try reading… it provides for permanent bailouts and creates a special fund for that purpose.
This IS a capitalistic nation. Failure is part of the equation. None of these companies should have been bailed out the first time and for many of them this isn't their first walk around the block. Each time they get bailed out, they keep the same practices and the same managers — so the fail again.
There's one silent elephant in the room thought. The next time around they're bigger, more people are impacted and the next bailout is exponentially larger.
Humans learn through error. If we don't feel the pain we won't improve. All this throwing money at problems that democrats have been famous for is like giving heroin to a junkie. In fact it is exactly like giving heroin to a junkie. The junkie becomes an indentured servant, a slave to the political personality and the political personality becomes dependent upon the servant for his standard of living.
What an epiphany! The democrat party is a member in mutual social parasitism and the conjoined parasites of the democrat party and their supporters are a cancer on the body America.
Carve Outs for Dodd's Cronies:
http://www.nypost.com/p/news/opinion/opedcolumnis...
….and "War Is Peace, Freedom Is Slavery, and Ignorance Is Strength." George Orwell, 1984.
Except for the huge bail out credit line in the bill with no cap on how much it will pay out under the guise of a "stablization fund". It also fails to break up the "too large to fail" banks. Yep the bill as it stands sure bans bailouts and will sure fix the problem…
“A vote for reform is a vote to put a stop to taxpayer-funded bailouts” – Barrack Obama
… due to being broke.
If you look closely at the history of totalitarian regimes they always create an "atmosphere of anarchy" via the "useful idiots" just before they pounce on individual liberty…
Look at Arizona for a modern example or the Seattle WTO or the G-20 or all of the visits by GW Bush around the world during his administration…
The outcome is always the same and it is always "violently anarchistic" in nature…
Obama as board member of Joy Foundation funnels money to start Chicago Carbon Exchange
Fannie Mae swindler AKA Frankie the Fish Invests heavily
Gore invests heavily
Goldman Sachs invests heavily
Leftist's galore invest
10 Trillion a year business model! (if cap-n-steal passes)
Climate Change !!! — Nothing to see here people, move along
Barney Dodd and Company intimidate banks into creating toxic loans
CONSERVATIVE republicans try to push back, labeled racists, RINO's capitulate
Barneys boyfriend, a clerk at a furniture store gets a job with F/F @ 300K per year
Riff/Raff take out loans they can't afford to pay back (Thanks Dim's!)
Leftist wall street types start packaging and selling these loans
Ooops economy goes BOOM!
It's Goldman's fault!
Sorry lefty, your game is being exposed, it's just a matter of time before the rest of us wake up. Good news is that when enough of us are alert YOU won't have to worry about any of this again, ever…
No we are not.
If the truth be known we would like to have Fannie and Freddie and the political members who manipulated them held to the letter of the law. Our problems were created by the bubble built to order by Barnie Frank and Chris Dodd and manufactured by Fannie and Freddie.
Equal justice in a country of laws — hold the real criminal activities accountable.
what america are you talking about there mik? the america that is 29% progressive? if it passes mik—it will be dumped in the future because 60% of america is sick of bailouts mik—so hang on to that thread there mik—the one you are hanging onto over the precipice—cause you all are about to fall—
WHOA! Hold the show here!
You're upset with something Chris Dodd did???? Oh! You better not let the home office find out about that!
I for one am not angered at banks (Big or small) making a profit, and how big that profit is is not my concern so long as they follow the rules. All the talk about people being angry at Banks (and their profits) is MSM driven crap. However the Beltway gang has set the rules for the last 20+ years (So it is partially Bush's fault, just to get that out of my system) and turned Fannie and Freddie into the monsters that they still are today. Enforcing the existing laws in this country and enforcing them equally would be a great start applying the existing laws that lenders must follow to Fannie and Freddie would be icing on the cake. The Obamatons are not going to do that so if the Rep. cave to this monstrocity in any form they are just as guilty as the Dem's. We need another Federal department/agency like we need an extra hole or two in the head.
By the way Enforcing the existing law's would do wonders to the imigration issue too!
Remember in November.
http://remembernovember.com/
God Bless America
I've read the bill. There is no regulation in it, just more of the same bloated government programs that created the situation.
Fixing this is actually really easy. Break up the "too big to fail" banks, don't allow the packing of securities like was done, and then ALLOW bad banks to fail.
Typical democrats always think "more is better" especially when it comes to throwing money and regulations at the problem. The definitation of insanity is doing the same thing again and again yet expecting a different result each time you try…
It's not a bailout. That's a right wing talking point and not true. The investment banks haven't spent $500 million to fight this thing because they are tired of receiving tax payer money. They are fighting it because they don't want synthetic derivatives to be regulated. And Americans don't want another financial meltdown.
Also I think that the "left-right dichotomy" is missing an important element, there is a total control and total lawlessness at BOTH ends of the spectrum, think of it as an upper and lower extreme on both ends of the scale…
On one end you have an upper and lower representation and the exact opposite lower and upper or mirror image of the other…
I'm pretty sure that this explains why both ends can become a lawless or total power extreme…
Am I right…?
Whatever they do on bank reform, they need to get rid of too big to fail. The taxpayers should not have to take on the risk of banks when their bets go bad.
http://www.PoliticalCentrist.com News and views for independent voters
Correct. Those bonds were repackaged subprime morgages that "Big Government Programs" forced banks to make. Given the Fed's past history of bailing out banks when they made risky bets. Adding another bail out frund and 12 layers of government "crap" isn't how you stop it.
I'm with you brother! If it was politically doable I'd like to break up the six big investment banks into about 28 pieces. But they have spent a billion to buy lobbyists and congresspeople so that is unlikely. Right now this is what we can get. Then if the system melts down again we will have the political capital to break them up for good.
This should not be a partisan issue. If stock market melts down all of our 401k retirement plans go away. If the credit markets freeze up again our jobs go away.
There is lots of blame to go around for the bad decisions that were made ten years ago. But right now we need to try and make sure it doesn't happen again.
Reported as spam.
Good luck with that, I directly addressed each of you, therefore NOT spam, nice try though.
."Americans are demanding we regulate"…..Hmmm….There is plenty of evidence that Americans are demanding LESS government intrusion in private business…. I am sure that you understand this….I am also sure that any facts we produce to the contrary will be ignored and/or ridiculed….or the subject will be shifted to cover your retreat…..
Correct sir — you've started reading conservative talking points I see. I'm very proud of you.
A little lower down on that talking point you'll read that the method used to create that cheap money was Barnie Frank strong arming (well not too strong… it isn't really rape if the other party is willing) Fannie and Freddie to create the cheap money (weelllll… ok maybe it was rape because it took Barnie over a year of getting them drunk first).
I wouldn't be too quick to jump on the CDO band wagon. Commoditizing mortgages to create liquidity in and of it's self may not be all that bad — maybe but I'm not all that sure. Now the slicing and dicing of mortgages into the bond market was effective cover for hiding what Barnie and Chris were creating with the collusion of Moodies.
Now — just in case people start going into Bush bashing on this. Yes, it did happen on Bush's watch. Yes, it would have been really nice if Bush would have pulled Barnie out of the closet. However, the whole freddie and fannie thing was under congressional over site in a democrat congress and Barnie is still in charge of that whole mess. Let's just make sure we give credit where credit is due here.
Oh no!
I'm soooo hurt by your childish games, keep on being an imbecile though, you're doing just fine…
"…empowers the government right down to the level of monitoring individual consumer’s transactions."
It will be time to withdraw cash as soon as my direct deposit is made (and look up getting just a check mailed to my house form employer). It will also be time to cut up all credit cards and convert to a TOTAL CASH ECONOMY!
You really are quite amusing to all of us here and we really enjoy watching your daily groveling for attention…
I'm not willing to "settle for what I can get" though. Call me an idealist but if we send people to Washington to do a job, they should do it or loose their job. A bill written by special interest to regulate special interest isn't what I would call an "improvement".
YES! I always celebrate the birth of another conservative.
One more step and you'll free your self from the dark side forever…. say it with me brother, "no more bailouts with tax dollars, no more liquidation of value of citizenship through amnesty, no more civil indentured service through socialism, no more trying to win the race by racing to the racism card!" Say it with me brother and let go of the dark side.
Just one last thing….. you can do it, " … equal justice for equal citizenship … "
When you see Mikatollah post this…
"Baa ah, Baa ah, Baa ah…"
Nothing more needs to be said to him I think and it really "gets his goat"…
LOL
Look below, he's playing the "reported for spam game…", it really is sad to see such a frustrated little sheep try so hard and get only an occasional post deleted…
You must have really offended him there Missy…….Sorry I missed it…
He's a very lowly sheep…
Just give him a "Baa ah, Baa ah, Baa ah.." when you see him…
Nothing more should be said to him other than calling him out for the childish sheep/lemming he is…
mik—you are showing your true colors of totalitarianism—censoring like that—folks around here know that you are just waiting to see america under sharia law—then your ilk will be so bored not having anyone to kill—or nations left to destroy—are you going to censor me too mik—-
He is a goat….and that doesn't play out well in the end if you know what I mean…
It's his way, if he can't change the topic he'll try to alter the reality, a very sad little sheep indeed…
Or…
"Sacrificial lamb"…?
Exactly, mikatolla.
Futhermore, it bans bailouts. They ain't very bright around here. So sad.
The six largest investment banks have assets that total 63 percent of our GDP. Through government approved mergers and acquisitions they now have the ability to fail and take down our financial infrastructure with them. We would never allow a foreign threat to gain that kind of power over us and we shouldn't allow a domestic bank to do it.
I like this list too…
I've seen spammers shut a site down. They should not be tolerated.
I'm not talking about cyber stalkers like you who follow me around and write insulting posts. That's fine. I'm talking about the ones who cut and paste the same stuff over and over filling up my box with spam.
Unless of course it is Fannie and Freddie.,………….they can continue to do as they wish.
In our republic, politics is the art of the possible. If you are waiting for the perfect piece of legislation to get on board you are never going to get anything done. It's an imperfect system.
I'll never turn completely to the dark side, but there are a lot of issues where we could find common ground. Banking regulatory reform is one where we are going to have to make something good happen for the economic security of our country.
Give it time brother… I can sense the good in you.
So the problems of today are rotted to decisions made 10 yrs ago, that would seem to put the blame on Bush and rest of govt at that time right?
As of 2008 Fannie and Freddie have come under the oversight of the FHFA. And the $11 trillion in collateralized debt they control pales in comparison to the unregulated derivatives market, which some say could be as high as $500 trillion. We know that credit default swaps alone are $40 trillion… and still completely unregulated.
Actually President Clinton was the one who signed onto Graham-Leach-Bliley and removed the distinction between commercial and investment banking. Bush gutted the SEC.
Now don't get too excited. I'm a self-admitted lost cause. The liberal force is strong in this one. I'm not the droid you are looking for.
I honestly think that the problems of today go much further back to around the turn of the century.
Sorry, 20th centruy
That's my favorite time in American history… just as we stood on the verge of greatness. Both of my grandmothers were born in 1900.
How can conservatism make a comeback if the elements on our side demanding more regulation get the upper hand "again?" They need to be kicked hard, because they are not on message. They are taking us back in the wrong direction. If our side collectively advocates more regulation of the financial system, then how can we argue consistently for repeal of Obamacare? After arguing for regulation of the financial industry, what arguments can we possibly make against regulating the insurance industry or the medical industry without looking like a bunch of expedient self-centered hypocrites?
We may have stood on the verge of greatness but I do not think that we went any further.
You are kidding me right? They don't call the 20th the "American Century" for nothing.
We did some great things in the 20th century, but we also did some thing that are going to haunt use for a very long time. What is happening today will be just the beginning if it is not stopped and our course reversed.
You are right (I suppose) about the money differential there Mickey,……but
I don't know how much gardening you have ever done but, in my experience,….
the root has never been as large as the weeds one cuts,……..and if you don't pull the root,……….
the weed comes back bigger and stronger,……….
"oversight of the FHFA",……………. come on Mickey
But you still cling to the old religion words of liberal rather than adopting the new words of socialism that the darth emperor wishes. Your journey into the dark side of hating everyone isn't complete.
Remove your mask and gaze upon the evil leader with your own eyes. Watch as he prays upon his population with deceit. How he uses racism in his speeches. How prays upon the uneducated for his own gains. How he insults the states of Mass, New Jersey and now Arizona for their taking defense from his evil socialism. Watch how he destroys liberty while proclaiming liberalism.
The lack of "existing law" is the problem. Synthetic derivatives are completely unregulated and the abuse led to the meltdown of the financial markets two years ago. And it seems that is was mostly legal for the lack of breaking any specific law.
Apparently it is completely legal to bundle collateralized debt into bonds, pay a rating agency for a triple A rating and then sell them as insured "swaps" to your customers while you sell them short, betting they will fail. All legal.
glad you like me mik—
baa ah, baa ah, baa ah—the cry of his people—alinsky sheep—or alinsky goats—
mik—it was your beloved dodd—barney—and prog congress that caused the housing bubble—when will you realize that their interference is why we are here today—
mik—this is all going to create a meltdown like the world has never seen—i am sorry you do not see what is coming—we will not avoid a financial meltdown because of their regulating—it will be worse—plant a garden mik—
You see Anon, your argument is too clear, too concise. Our esteemed Senators need their ego's
stroked, and nothing does that like passing a brand spanking new bill. They just get all frisky over
it. With lobbyist visiting hourly, delivering buckets of money, they've forgotten who voted for them.
The majority of us only have 1 vote to give them, thus our wishes are of no importance. But the
lobbyist, reinforce their importance, reaffirming their worth, lest they be consumed by doubt as a
consequence of their fragile egos. Thus proving the accusation, they are not in Gvt to serve.
You may be right, but I'm having difficulty coming up with examples of a right-wing totalitarian govt or a libertarian socialist govt.
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STAY STRONG!!!! Those in the WH have no idea how much we despise the cap n' tax puke Graham and can't wait until 2014!!! If any of them want to join him all they have to do is weaken on this stance. I fear they still don't understand our anger!!! Let them come with me to the grocery store next week and I'll show them how much prices have risen.
Many of us are in survival mode and they SPEND SPEND SPEND!!!!
STOP THE SPENDING!!!! STOP IT NOW!!! Think of that money as your own for a change!
I got so mad I forgot to thank you all for fighting this Obama scam, at least, thusfar. You guys in DC must understand that this man in the WH is NOT a friend of the USA and works for the internationalists/globlists. ALways keep that in the back of your mind when dealing with him or his followers.
Stay strong. We’re coming in November!!!
I think the up/down applies to the center left / center right midsection as well but we both know that Europe has provided many examples of attempts to do both.
Socialism and totalitarianism are the antithesis of conservatism and libertarianism both of which provide for limited government.
Too much of either leads to an up or down slide towards one or the other…
Slippery socialism led to the totalitarian communist dictatorships of Eastern Europe just as overly ambitious libertarianism has led to near anarchistic socialism in Western Europe…
But the opposite seems to be developing now that the scales have been turned upside down at both ends of the continent.
Do you see where I'm going here…?
Thank you Republicans, for keeping America safe for Wall Street crooks. Can't wait to see what Mitch "Amnesty" McConnell's got next. This is why Republicans are the minority party and will be for the foreseeable future. At least when Democrats schill for the corporations and the bankers, they misdirect the American people and make it look like they are fighting for us. Republicans don't even seem to care.
the rePUBICans will cave on this issue too… the only rePUBICan with a set of nut is JAN BREWER…
so WE'S SKREWED!!!
The biggest problem that regulators have is this investment banking activity may not be against the law. We screwed up when we removed the protections of Glass-Steagall, and the unregulated synthetic derivatives market now threatens our economic security. The systemic risk must be dealt with…
The housing bubble was created by an abundance of cheap money from the Fed and a bottomless demand for collateralized debt to repackage and sell to unsuspecting investors as "AAA" bonds.
Baa ah, baa ah, baa ah…
Baa ah, baa ah, baa ah…
Baa ah, baa ah, baa ah…
YES! I always celebrate the birth of another conservative.
One more step and you'll free your self from the dark side forever…. say it with me brother, "no more bailouts with tax dollars, no more liquidation of value of citizenship through amnesty, no more civil indentured service through socialism, no more trying to win the race by racing to the racism card!" Say it with me brother and let go of the dark side.
Just one last thing….. you can do it, " … equal justice for equal citizenship … "
I have a solution to your concern. You may leave now and please remember to pack up your ad hominem statements on your way out.
Aay…………Cornyn, I see you hiding back there behind Mitch's big watermelon head. Pay attention when
I talk to ya' boy…………..block this bill, no damn compromise, block, ………got it? Enforce existing law, I re-
alize ya'll like to get your names on a piece of legislation and you can't do that without creating something
new. What can I say, sucks to be you?
Which century?
Capitol Confidential, thanks for your great work in fighting against this bill. We have got to put even more backbone in the GOP. We have a few idiots on the right carrying on about "unregulated" derivatives and how they need to be regulated before they destroy the financial system "again." What morons! These people know nothing about the financial markets or the financial crisis, but they want to regulate it even more. The subject makes them uncomfortable, they hate what they do not understand, they can't stand people who make more money they do, and their first instinct is to bludgeon it all with big government to satisfy their cognitive dissonance.
Politicians lie, plain and simple.
I don't see the correlation nor the causation.
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