We needed the bailout because????

We needed the bailout because, why? what? huh?

So they pass this multi-billion dollar bailout bill with all the extras and the market jumps!

Wow.

Except it's going in the wrong direction.

Down.

Why isn't Wall Street happy with this thing?

Could it be we didn't need it?

Could it be Paulsen and others were wrong?

Could it be... they want more, more, more?

I'm still hung up on why they had to put all the extra stuff in it just to make it pass. The price tag on these guys and gals conscious wasn't very high when you look at what it took to make them swing from one side to the other.

I'm pleased our Republican House members all voted against the bill, regardless of whether they did it for the right reasons or simply to stay in office. I'd prefer they did it on principle, but I'll take the vote either way.

Here's another scenario for wanting the bailout: The Democrats want it as another step toward Socialism. I heard today that the changes made in the bill make that less likely. Hope that's true. I'm not sitting down to read through 650 plus pages of twisty-talk to try and find out. Most of us will live to see the results and how it plays out.

All afternoon I've been listening as political types explained their vote for and against the bill. I've never heard so much pandering in one day in my life.

I've been listening off and on as the financial wogs explained why the bill wasn't doing much for the stock market. They don't really know based on what I'm hearing, but they sure do sound like they might. The tone seems to be that this really wasn't a fix, it was just to staunch the flood. Times are going to continue to be tough, nothing may improve.

Hey, did you guys know that Japan called and said we really needed to do something over here to make sure the bill was passed? I think it was Pelosi who threw that tidbit out in the midst of her talk today. She did a fair job and managed not to continue her desire to work on a non-partisan basis and all get along (cough, cough) by saying half of those she wanted to hold hands with were unpatriotic.

You'll be pleased to know she just tossed in a few light obligatory slam-Bushes and actually managed to say she appreciated the work of a couple of Republicans. Well, she didn't use the word Republican, but still, she uttered their names. She didn't say exactly what they did, and she did manage to give credit to every addition or good thing (in her mind) to a Democrat, but that's about as close as I've ever seen her get to making nice with Republicans.

Yes, and the ground didn't split open and swallow her, nor did lightening strike. But don't you worry, Ms. Nancy will be back in true form now that the vote is complete.

What's the future hold? Pain and misery if the talking heads know their stuff even partially.

I've heard there's a run on canned goods in the grocery stores. I haven't seen it and there seems to be plenty of food on the shelves so I think maybe someone is having a bit of fun with the truth. Guess I'll find out next time I go shopping.

On the McCain front, it seems that passing this bill might be a good thing according to some as it gets the issue of the economy off the table. It will only be a good thing if life improves over the next few weeks and the bill has a noticeable impact. If the effects of the bill are negligible or life doesn't improve for many, then his yes vote can end up hurting his chances.

How Cheap the Price of a Vote

The $700 billion bailout is now up to around $850 billion depending on how you calculate the various additions that were tacked on to buy votes.

These so-called principled politicians were dead set against the bill... until... they added provisions for wooden arrows... gave a tax credit to businesses for employees who bought a bike to ride to work... The list of seemingly mundane and frivolous additions is ridiculous. Yet that is all it took to get some to switch their no vote to a yes vote.

How cheap the price of a vote.

How cheap the price of principles.

We are supposedly in crisis mode yet these silly things (with a high price tag) were needed to get the bill passed to save us from the end of the world???

I listened as the very people who caused the problem stood there and patted themselves on the back for getting the bill through. Apple pie, love and harmony, and everyone is beautiful. We played nice, threw in some icing on top of the icing and we deserve your vote and praise.

Bull.

The three page bill is now something like 650 pages? We'll be sorting through the fine print for decades to come and I believe we are going to regret the passage of this bill. I've been listening as economists and other "experts" discuss what this bill will do and I'm convinced at this point that at best it'll stop things were they are now.

What's next? Once we set the precedent how do we say no to another sector? What happens once we've partially nationalized this segment of our free market? How many agencies are we going to need to create to oversee the enactment and subsequent oversight of / from the bill?

Here's a few things included in the bill:

--- “The Secretary of the Treasury shall enter into an agreement with the National Academy of Sciences to undertake a comprehensive review of the Internal Revenue Code of 1986 to identify the types of and specific tax provisions that have the largest effects on carbon and other greenhouse gas emissions and to estimate the magnitude of those effects.”

--- The subsidy for biodiesel production doubles, going from 50 cents per gallon to $1.00 per gallon.

--- The “Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008,” (Bill number S.558) for companies with more than 50 employees, requires group insurance plans to have deductibles, copayments, coinsurance, and annual and lifetime limits for mental health and drug addition/abuse coverage which are no more restrictive or expensive for the policy holder than those same items for other medical and surgical coverage.

--- Tax breaks for rum producers in Puerto Rico and the Virgin Islands ($192 million)

--- Tax breaks for motorsports racing track facilities ($128 million)

--- Tax breaks for Alaskan fishermen ($223 million)

--- The extension of the “exemption of undercover operations (by the IRS) from certain laws”

Sources:
'Sweetened' bailout plan stuffed with pork
http://www.onenewsnow.com/Politics/Default.aspx?id=273634

Tax Earmarks, Pork and Other Bailout Bill Horrors
http://www.humanevents.com/article.php?id=28851

Florida's Sen. Nelson Votes Against Bailout Plan
http://cbs4.com/local/senator.bill.nelson.2.831240.html

Plus a whole host of other articles, discussions and a very tiny, tiny bit of talk radio.

Financial Crisis, Politics, and Stuff

I listened to bits and pieces of the debate in D.C. about the so-called Bush bailout today. I listened to some more pundits discussing the merits and /or negatives on the issue. It seems to be boiling down to "we have to do something and this is all we have on the table".

I don't like it. I agree with many others that this is another step in the wrong direction for our country. I haven't a clue what else they could do though. They (whoever 'they' may be) are going to do everything in their power to keep the country rolling.

There's a lot of finger-pointing and backward looking, which is good for future lessons only if we're ever going to go down the same path. We've already made the good and bad decisions, and ignored good and bad suggestions along the way.

Regardless of what we do now, someday some bright minds will look back and see we could have chosen a better path, and they'll use it as part of their election rhetoric if they're running for office and it matters at the time.

Our politicians are being inundated with calls saying NOT to vote yes on the bail out. Newt Gingrich is encouraging John McCain to vote no. Barack Obama has already said he's going to vote yes, but that doesn't mean he'll do it by the time this thing comes up for a vote.

Everyone is grandstanding and it's fairly clear that many of our elected officials are simply trying to make sure they're on the right side with those who will vote them back into office.

If it weren't so difficult at the moment it would almost be funny. Think about it. If those in office vote yes, they're going to be bucking the will of a majority of voters. If they vote no and the economy collapses then they're going to be in even bigger trouble as their constituents will say "why didn't you do something?". They can't win.

It could be even worse if they vote yes and things still fail. Money down the drain.

And what about all these foreign countries that are sorting through the dregs to see what they can pick up? How much more of our country is going to be owned or owed to other countries?

Our politicians have also decided to punt on the issue of drilling saying this issue is too big and they can't deal with it at the moment. Do you really think every minute of their day is caught up with studying the books or trying to figure out how to vote on this issue?

I think they don't want it used as a bargaining tool. Everyone is trying to look the best they possibly can during this difficult time and they all want to come out smelling like... not a rose, but at least not smelling rotten. If drilling is on the table at the same time there will be some humongous deals cut. "We'll vote yes on this aspect if you'll add this to the bailout bill." So they took it off the table.

At least that's my take on it.

Unfortunately that just delays something else of importance that could make us feel better about all that's happening. Maybe they're holding it out as something to make us feel better down the road when things are more bleak? Hope that's not the game plan!

Did anyone notice that oil went up? Gee, you think there's a bit of manipulation going on? Kick 'em while they're down?

OK, 'nuff on this one. They're going to do what they're going to do and we're going to deal with it somehow.

By the way, I heard that McCain's numbers are on the rise again. Wonder what that's about?

Oh, and just another quick aside, has anyone been following Joe Biden's foot-in-mouth troubles? I actually like the guy and kinda feel sorry for him. I definitely wouldn't want him as President though after watching his difficulties with knowing when to speak and what to say. It would give the Saturday Night Live crew something better to joke about than incest though.

(Did anyone hear about the despicable SNL skit where they spoofed about Todd Palin and incest? That is lower than low. Can you imagine the uproar if they'd spoofed Obama or Biden or Hillary on that topic? There is nothing, nothing, funny about incest. )

Guess I've introduced enough subjects in this one blog! If you want to know more go check out http://readmylipsticknetwork.blogspot.com and wander through the listing of member blogs on the side bar. They're covering all the political news in a fun way!

Another point of view on the financial crisis

How the Democrats Created the Financial Crisis: Kevin Hassett

http://www.bloomberg.com/apps/news?pid=20601039&refer=columnist_hassett&sid=aSKSoiNbnQY0

Sept. 22 (Bloomberg) — The financial crisis of the past year has provided a number of surprising twists and turns, and from Bear Stearns Cos. to American International Group Inc., ambiguity has been a big part of the story.

Why did Bear Stearns fail, and how does that relate to AIG? It all seems so complex.

But really, it isn’t. Enough cards on this table have been turned over that the story is now clear.

The economic history books will describe this episode in simple and understandable terms: Fannie Mae and Freddie Mac exploded, and many bystanders were injured in the blast, some fatally.

http://www.bloomberg.com/apps/news?pid=20601039&refer=columnist_hassett&sid=aSKSoiNbnQY0

(Thanks to http://mccainpalin2008.blogspot.com/ for finding this and posting this!)