Peeking inside the bailout breakdown
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Editor’s note: Here are some early reactions to the breakdown of the bailout bill, from the presidential candidates, congressmen, and our reporters and producers.
From Jessica Yellin, CNN Congressional Correspondent:
We're getting this message from multiple republican congressional aides but can't give you names:
"Pelosi's hyper-partisan floor speech infuriated a lot of our members and it has torpedoed this bill."
Dem aides say: "We delivered our votes - they did not deliver theirs."
Another Dem aide: "They were worried about voting for this now they are responsible for rescue going down...they are suggesting that 100 republicans were ready to vote for this an hour ago and then switch based on a speech? That suggests that vote was never about the economy."
From Ted Barrett, CNN Congressional Producer:
I just spoke to Boehner as he walked off the House floor looking gloomy. Asked if he was disappointed by the vote he said, "very. Not because of the vote but what it means for our country." He said he did not know if lawmakers knew the market was tanking during the vote. Asked if he did he responded, "no, I was working to get every vote." He said he was not aware of what the next legislative step would be.
From Rep. Barney Frank, (D-Mass.), a lead organizer of the bail-out package:
We don’t believe they had the votes and I think they are covering up the embarrassment of not having the votes. But think about this: somebody hurt my feelings so I will punish the country. I mean that’s hardly plausible. And there were twelve Republicans who were ready to stand up for the economic interest of America but not if anybody insulted them. I’ll make an offer: Give me those twelve people’s names and I will go talk uncharacteristically nicely to them and tell them what wonderful people they are, and maybe they’ll now think about the country.
From Rep. Darrell Issa (R-Calif.), a lead opponent of the bailout package:
"To be honest, somebody finding out that Nancy Pelosi made a partisan speech? I’m shocked.” He said claims that her speech shifted votes are “nonsense.”
From Sen. McCain’s speech:
I call on Congress to get back, obviously, immediately to address this is crisis. Our leaders are expected to leave partisanship at the door and come to the table to solve our problems. Senator Obama and his allies in Congress infused unnecessary partisanship into the process. Now is not the time to fix the blame. It's time to fix the problem.
From Sen. Obama's speech:
One of the messages I have to Congress is get this done. Democrats and Republicans, step up to plate, get it done and understand that even as you get it done to stabilize the markets we have more work to do to make sure that Main Street is getting the same kind of help Wall Street is getting. We cannot forget who this is for. This is for the American people. This shouldn't be for a few insiders...
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Filed under: Bailout Turmoil • Barack Obama • Economy • Jessica Yellin • John McCain • Raw Politics |
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The analogy of a house on fire is being used alot. I think a better analogy would be that of a critically ill patient. A paramedic wouldn't just rush onto the scene and inject a mega-dose of the strongest drug he has, hoping that it will help. But that's the way many people think Congress should react to this situation. I think the people in the House who voted against the bill are heroes. This is a HUGE decision and it should not be made in a panic, without considering every possible option.
I"m unsure if we should trust our government that we need to bail out wall street. I see a president that has said that outsourcing of jobs is good for our economy... that said up to one month ago that our economy is fundamentally sound. Now this same president is saying that a decision need to be made now, I see around me that people have lost their job and are in foreclosure because of it. I see a government that could start by helping these people first and letting the money trickle up instead of down. A position that seems to be a policy more often than not. I heard a person saying that helping the little guy would cause desention in those who pay their mortgages. I pay my payments and I have no problem helping those less fortunate who have lost their jobs and homes. I know I have lost alot in my 401k, but someone has to help and I don't feel the government can be trusted to do it.
This is all so sad, but we as americans also need to share some of the blame here. It is easy to blame it all on congress or the president but haven't we gone along on this ride all along? No one was crying when they were making money on wall street, buying unaffordable homes and taking equity out for frivolous expenditures, including all of us who invested in the market.
Seems like blaming other people is a way of getting out of accepting responsibility for our own actionst. I am a democrat and will support Obama as I have all along. This bickering back and forth in these comments makes us no better than the elected officials we are criticizing.
I don;t like this anymore than anyone else, but everyone blaming everyone else is not the solution, makes us sound as small as we claim our elected officials are.
Why bail out companies (the middle man) instead of bailing the people directly. Govt wants to help people...excellent...lend money to people, small businesses - for college tuition fees or mortgage payments
There is no need to bail out companies which take risk to make a profit. Sometimes they have to suffer the consequence and take a loss. These companies will send the saved jobs to distant lands anyway. Cut medical benefits.
I support every politician who saved us from a massive wealth redistribution.
I’m not the sharpest knife in the drawer… maybe that qualifies me for a $1 million dollar plus job on Wall Street (or perhaps a job in Congress), but my math skills tell me that 95 democrats voted against this democratically self-serving embarrassment of a bill. Rep. Pelosi… it might be convenient to blame the Republicans that you absolutely flamed in your most bi-partisan of ways (mesmerizing demonstation of leadership that I’m sure will be studied for years to come)… how about getting your own house in order before throwing the blades. You have sadly disappointed the American people as Leader of their House.
Playing chicken with the economy is the best description I have heard yet. Pelosi did such good work it was said over the weekend – why did she blow all that up with her speech? Does any one in Congress have the least bit of common sense and dedication to this country or is it just all about them?
Perhaps its time that "We the people" took our government back and got rid of all the career politicians in DC. Our first revolution was against King George 3rd – maybe now we need to revolt against President George and his do-nothing Congress.
Annie Kate
Birmingham AL
To blame President Bush is wrong. If I'm not mistaken, in high school government we learned that spending is from Congress not the president. Duh we have a democratic congress. When Clinton was in office he had to deal with Newt and company so his spend policies were put on hold until and dems held congress.
Is anybody getting that this bailout may not actually be good for the average American? This "solution" may not be the best solution. If banks forclose on houses they have inventory. If those banks worked with homeowers in trouble and renegotiated loans, then they would have cash coming in and not be holding empty property. The home buyer is as responsible as the loan company for making poor loans. There should not be a bailout, there should be some pressure on banks to work with people who are on the edge of forclosure. Empty properties will not get the economy moving again. Inflated housing values is part of the problem-the ballooning prices had to top out, but bank owned properties aren't going to help any cities property values. Banks should have to do what any other business with excess inventory and poor cash flow would have to do-take a loss, sell at reduced rates, negotiate with home owners who would rather not loose their home. No bailout.
I just want to storm into congress, rip the gavel out of the Speaker's hand, bang it till it breaks, and shout. "Kids! Grow up! You must all play nicely together or we, the voters, are going to find kids that will!
As if anyone needed more examples, today was the final proof that our Congress is now totally dysfunctional! My advice is, come November if they are an incumbent, out they go! As Ross Perot warned us years ago, we need to "clean out the barn"!
I am tired of hearing about "plans" The plan I want to hear from both candidates is how our children are going to pay off what will be 9-10 trillion dollars in national debt soon! Let me hear the details of that one Senators! Let me guess, the government is going to provide them with apples and pencils (from China no doubt) that they can sell on street corners!
i am a democrat and am proud of the democrats that opposed the bail-out. no one out here wants this bill to pass. i will vote for barack obama but am disappointed that he hasn't had more to say about this mess.
Let's thank the House Republicans for ensuring that we will now enter a Recession, possibly a Depression. This was a Wall Street problem that will now impact Main Street and individuals in a big way. Why do we elect these dummies in the first palce. Let's get some smart, non idelogicial people into the Congress. This is an election year. Throw the dummies out!!!
Yes I think N. Pelosi blew it with her speech but the real blame falls back on the current administration along with congress and house for the past 8 years. I think they should be a investigation of all the major players involved in this matter to see if there is or was any wrong doing and if found guilty they should be prosecuted.
Throw the bums out-the GOP dealt gorge a set-back if he was running for the job it would not have been that way-yea right looking out for the voters back home-all of a sudden it's the voters they are concern with-ops forgot they have to run in Nov and george will be back at the ranch sucking up lemonade--throw the bums out
sumo –
The Democrats made it clear right from the beginning that they were not going to jump off this cliff alone. It was the Democrats who stepped in to try to clean up the mess made by six years of exclusive Republican government. You bet it's the Republicans who bear a huge share of the blame as they looked the other way while greedy Wall Street tried to cash in on sub-prime mortgages.
The Democrats only regained power two years ago and they have been trying to undo the mess created by Bush and his Republican Congress ever since. But they can't, and shouldn't, do it without the Republicans joining in a bipartisanship effort to pass a bailout bill. Nancy Pelosi and the rest of the House Demcrats made it clear that they were not going to do this alone.
So the Republicans blinked, along with some cowardly Democrats and God only knows what will happen now.
Where are our leaders?
I watched with dismay at our elected officials act more like children than adults who have responsibility for our country. Most Republicans and Democrats where more interested in expressing why today's failure was other people's fault than expressing constructive input on what needs to be done to resolve the situation.
Also, I must say I am upset that Congress is now unable to take action for several days. When Israel was attached during the Yom Kippur War, did Israel soldiers refuse to fight because it was a holiday?? Why is it that politicians can take time off is such a serious problem for a religous holiday. What has happened to the seperation of Church and State?? I am a Catholic but if I were part of a business that had a serious event happen on Christmas Eve, I would certainly work through that time to come up with a resolution.
Is there no better example of why we need term limits?
when will they rename this to avoid the BAILOUT term. They are NOT bailing out Wall St, they are trying to SAVE the economy. The drop of 777 points on wall st reduced 401K's and other assets over 1 Trillion dollars – wake up folks, if the money isn't injected soon all of our assets and ways of life will be impacted. These are scary times and require serious action NOW.
Whether it's a matter of feelings hurt or not, N. Pelosi has demonstrated a total lack of leadership by turning this into a Partisan play. This is akin to the person who attempts to uplift themselves by putting others down. You become a fool in everyone's eyes. If this Bill in its form is so wonderful why did nearly 100 Democrats also vote it down?
It's back to the drawing board and work together, keep the Partisan speeches out of the Chamber and revise a Bill that changes the Financial mechanisms needed to stave off a Panic or Meltdown.
Not entirely unexpected, seeing as how Congress is just as much to blame as their playmates on The Street ..... it's rather hard to can a buddy when the "Oversight" will undoubtedly shift their direction and expose who made up the Rules as they went along to cover themselves!
Too bad the Committee doesn't have the powers it really needs to start acting on the real issues in the real manner necessary! Maybe we need the single-mindedness of a "Czar" after all........
Why not blame that terrible bill and congratulating the Republicans for actually READING what they were signing. It is a terrible bill. No accountability. ACORN would get 20% of any profit off from any sale down the road. Isn't ACORN and groups like it the reason we are in this mess in the first place? At least some people have a backbone, which is more that I can say for most of the political hachs called Democrats.
just let it all crash and burn...sometimes you just have to kick over the apple cart just to see which way the apples will roll...really what is the worst that will happen...really... some rich people will become "not as rich" and poor people will still be poor
Smitty...Do you really believe everything that you read? And do you think that Al Jazeera would tell the truth anyway when it concerns us?
The truth is that in the House, "no" votes came from both the Democratic and Republican sides of the aisle. Several Democrats in close election fights waited until the last moment, then went against the bill as it became clear the vast majority of Republicans were opposing it. Most vulnerable Republicans refused to back the bill.
In all, 65 Republicans joined 140 Democrats in voting "yes," while 133 Republicans and 95 Democrats voted "no."
They all were worried about their jobs and not us. It was not just the Republicans that voted no as many on here want to believe. There were almost as many dems as reps who voted against it.
Cindy...Ga.
After today's events one really has to wonder if this were to have happened back in 1776 if the United States of America would have ever been born. Back then they voted for the good of the people, please read your history books and do what needs to be done and get this passed.
Wasn't one of the headlines this weekend something on the line that Obama was saying – the bailout plan got done without John McCain's input and assistance and it will pass on Monday. Well – I feel that the Democrat's have gotten so nasty – as seen when they BLASTED
They voted against the bill because 70% of Americans DON"T WANT IT!!!!
They did the right thing....
And Dems control congress.... 94 voted no and they only needed 13 more... so Nancy should be quiet...
90 plus democrats voted against this bill. If 100% of the democrats voted like Pelosi, the bill would have passed. It is interesting that the blame is falling on republicans when the democrats could have passed this bill all by themselves. How come there is no outrage towards the democrats that voted against the bill or against Pelosi for not getting enough in her party to vote for the bill.
we are.
Lawmakers actually want a financial crisis, yes I said it! They are trying to ruin the dollar therefore creating a NEED for the Amero a North American union of Maexico, Canada, and U.S. just like the Euro. Problem is they will trample our Constitution and rights taken away. Why don't we change our leaders now before they continue to lie and do harm to us? My two ideas are: eliminate the one man President position and Congress entirely (even just temporarily) and create a National Council just like we have a City Council of 10-12 people a Chairman and all. City Councils are swift, concise, take in different views, and is a democratic ideology. The National Council would vote on immediate laws and reforms to FIX things and this cuts the fueding and bills that never get through. -OR- we fire all of the current Congress and President and install only Libertarians/Greens/Independents the Democrats and Repubs are corrupt. All elections should be individuals and their views only anyways, not my team your team, the party system is disgusting even to old people like my Grandmother, Parents. So we could install some Libertarians and/or Green Party people to have their crack at FIXING things. Seriously we eventually will have more independents move into higher positions, let's speed up the transition and fire all these REP/DEM people and give the Ralph Nader, Ron Paul people their time NOW. They aren't idiots or hippies, they have an ideology that if implemented would make a free country free and not suffering and forced into a new world order. Please present these ideas on your t.v. broadcast.
Until people stop voting so much on party lines, we will never be the UNITED States of America. Was Pelosi's speech over the top? Maybe. But, as grown adults, no one should adopt the "take your ball and go home" policy. Re[ublicans and Democrats need to come together and do what they were elected to do: make choices that are the best for the American people. If this bill failed because it isn't the best choice, that's fine. Let them come up with a new one. But, if it really failed because of Pelosi's speech, it's time for our politicians to grow up.
this is sad reading these blogs....this sounds like CNN on TV... please for the sake of our future open your eyes and understand all sides of any story before you write on a blog....
one more thing- if you want someone to vote (your way) dont insult them first- did she really want the deal made? looks like she wanted to sink the boat- or am I blind? was she ticked that she had to add a bunch of things she didn't want- and pulled the plug? do the math.
and is there one person out that can explain the bailout and why we should do it, please explain...your getting all ticked off at the republicans but you didn't notice the Democrats are the ones who didn't vote for it...they don't need the republicans! stop listening to other peoples thoughts- read the numbers- and get ticked off at the right party.
I wonder if all of this economic nonsense and the failing of so many banks has anything to do with the increased number of fraudalent e-mails I've received today in the name of various banks. These e-mails requested I sign on to a site and enter my personal information so that they can verify the accuracy of the account...an obvious attempt to gather information and to tap into an unsuspected person's account. I forwarded these messages to the banks but for the unaware there may be more gloom to deal with if they should reply to one of these messages which look authentic except the return address which is very suspicious.
I wish someone would explain to me why we have to have a bill passed in congress allow the fed to do what they already have done in the case of wamu and wachovia. If I read the story right, the u.s. taxpayers are on the hook for 42 billion of the debt that citi acquired from wachovia. It seems to me that the free market system worked in the this case with the bigger bank acquiring the smaller troubled bank and still leaving wachovia with what is left of ag edwards and thier shareholders with at least a portion of thier investment
Here's my bet on what really happened today:
All the congressmen who were signed up on Sunday to vote YES but actually voted NO today had a really great reason for personal gain. They knew in advance that this action would cause a stock market tank. So they voted NO today with some political excuse for their change of position, packed their portfolios with cheap stocks Monday afternoon in the wreckage, and they vote YES when the bill is revised. What an easy way to manipulate the stock market! There's no risk to those congressmen because there's no way anyone would ever succeed at identifying an individual or smaller group to prosecute for stock market manipulation.
I think that the root of the credit mess goes back many years to Presidents Carter and Clinton who pressured Fannie Mae and Fannie Mac to issue more loans to people who did not meet their standards. (Read vote buying from minorities) To do this, they had to lower their down payment requirement and income requirements. Since the loans were tacitly backed by the government the lenders went along or lost business. Combine the ARM's maturing and the economy going soft and these people can't keep up on the payments. Neither Fannie had a problem from their start in the 70's until their standards were forced downward. Now we are paying for the two Fannies and the bankers. As my daddy used to say, 'If somebody gets something for nothing, then somebody else gets nothing for something' Guess that's me and the other taxpayers again!
I'm proud of the 80+ democrats that didn't go along with the bailout (handout) I don't want my money going to the rich! Why is everything closed doored? and why blame republicans because they actually voted the way their constituents wanted them to? isn't that why we vote them in? I don't want my rep. to be swayed by big business and crooks. why in the world should be believe anything our party's leaders have to say? Give me one reason. I think its better for our nation to have less debt- lower oil prices and be more responsible for our actions- lets call on our nation to have less debt- lets have less debt in our gov.
This is very sad that the democraps are trying to take credit for fixing the problem they have created in the 1st place...!! Nancy is such a sorry and sad leader that it makes my stomach turn to even hear her voice anymore...she should step down..and the worst part is i am a democrat but not for much longer..
We can no longer allow the unknowing,to do the unknown,to the unwilling. The Republican party is attempting to punish everyone for the short sightedness of their economic views and inability to compromise for the good of the whole. This policy of uncontrolled, unsupervised deregulation started with whom? Why a Republican President name Ronald McDonald. Now, we balme the speaker of the house for calling the successive failed policies for what they are! Hopefully, when we wake up tomorrow and our 401K's are worth 20% less than they were today people will realize the seriousness and punish the Republicans for not being able to think their way out of a brown paper bag!
Why aren't the people who are against the $700 Wall Street Plan angry about Farm Subsidies in the US?
People are fooling themselves, if they think the rejecting of that bill isn't going to hurt them. There was a hook in that bill and there is a greater hook without the bill.
This a piece of and article from Al Jazeera news:
Gerald Friedman, a US economist, told Al Jazeera: "The Republicans in the House of Representatives are playing chicken with world economy.
"The pro-deregulation people, the Republicans who voted this down, are the same people who have deregulated financial markets over the last 30 years.
"The people that got us into this mess are now the ones that want to wash their hands of it. It's a little hypocritical."
Do you real think anybody is paying attention to this?
What a sad time. What the terroists could not do to the country, the current administration and companies did. They brought the U.S. economy to its knees. They should be ashamed of themselves.
What a bunch of little children If the GOP voted against the bill becuase their feelings were hurt by Pelosi's speech...that's
just to darn bad They should grow up and do what is best for the country not their egos. John McSame has turned into an angry bitter little man. Imagine the mess him and Palin could do to this country. Something for all you undecided voters out there to seriously think about.
What was Nancy Pelosi thinking. Gas on a flame....not smart.
Today The House of Represetatives failed The American People. Sometimes....The The Government knows whats best for the people and the country and must act, despite losing their jobs. Americans must understand we are "cutting off our noses to spite our faces."
Get this Bill Passed Now.
dale duke
Albany, OR
My advice to the Minority Leader, John Boehner, "Shut up blaming Speaker of the House Nancy Pelosi and the Democrat Party for the failed policies that you and the Republicans have allowed President Bush to incorporate. You and the Republicans have given him a blank check for the past six years and now that those policies have failed and come to light, you want to blame the other side. Look in the mirror, it isn't the majority that have failed to act; it is you during the first years of the Bush Administration. You deserve everything that you are getting! It is you fault!"