[Peace-discuss] Call your Cong. reps. early Monday
C. G. Estabrook
galliher at uiuc.edu
Mon Sep 29 01:45:16 CDT 2008
[The following is from Bob Fertik at Democrats.com. --CGE]
(1) Call your Representatives and Senators at 800-473-6711 or 202-224-3121 and
say No Bailout! [Senator Durbin 202.224.2152; Senator Obama 202.224.2854;
Representative Johnson 202.225.2371]
(2) Email them too: http://democrats.com/stop-paulsons-plunder
After a week of high-drama negotiations, Congress and Hank Paulson issued
Bailout version 1.1, which is just the original Paulson pig with a lot of lipstick.
Republicans say the deal will be profitable for taxpayers, but they are lying --
just as they did about the invasion of Iraq producing lower gas prices. It's a
lie because Paulson has full power to pay too much for the securities and he
will because his real goal is a bailout of bank executives and shareholders with
our money -- a massive ($2,333 per person!) transfer of wealth from the poor and
middle class to the rich.
Democrats say they got oversight, accountability, and limits on executive
compensation but each of these provisions is so full of Republican-written [sic]
loopholes (see details below) that they are meaningless -- just like all other
restrictions imposed on the Bush Administration, from Iraq to wiretapping. And
that's before Bush simply negates any restrictions he doesn't like with one of
his unconstitutional (and hence impeachable) signing statements.
So our answer remains ABSOLUTELY NOT - just like many in Congress, both
progressive Democrats and fiscally-responsible Republicans.
Do we risk a market meltdown? Politico says, "Treasury estimates that the
program can’t be put in place for several weeks." That means the markets won't
drop dead tomorrow if this bill fails, and Congress has "several weeks" to come
up with a serious plan. Better yet, Congress can wait six weeks until after the
election and listen to the voters in the meanwhile.
A serious plan would not buy mortgage-backed securities. Instead,
1. The plan should work from the bottom up by restructuring all the
fraudulent mortgages so homeowners can afford to stay in their homes.
2. If banks are still failing, the government should temporarily nationalize
them as they did during Sweden's financial crisis.
Just for the record, here are some of the loopholes that make the Democratic
restrictions meaningless, as described by Politico:
1. Installments? Nope! They are automatic unless there is a 2/3 vote in both
chambers (to override a Bush veto).
2. Oversight? Nope! The GAO will have a "presence" in Treasury but no power,
and an "independent" inspector general will "monitor" the secretary’s decisions,
even though all of Bush's "independent" IG's have stopped none of Bush's
criminal activities.
3. Executive pay limits? Nope! Paulson got "discretion so that these reforms
don’t cripple his ability to draw a wide selection of companies into the program."
4. Bankruptcy reform? Nope!
5. Financial industry taxes to pay for the deal? Nope!
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