(by 2 people)
The EESA of 2008 or better known as the bailout bill
This lens is my reaction to this bill and why I think it is a mistake...and what I think is missing from this bill and my solution to the crisis.
-Jack Lee
Oct. 4, 2008
What went wrong?
Watch the Youtube video below...
What is missing from the bill?
I've read the 6 page section by section analysis of the legislation and I was disappointed by what was missing from this bill first and foremost.
No where is there mention of introspection to find out what went wrong? who might have been responsible? who profited from this crisis? and assign some responsibility...
I don't want an independent commission (such as the 9/11 commission that spent a lot of money and found no one to blame...)
I want names and a time line and who did what to bring us to this point. Only then can we work towards a long lasting solution (not just a band aid).
No where is there mention of introspection to find out what went wrong? who might have been responsible? who profited from this crisis? and assign some responsibility...
I don't want an independent commission (such as the 9/11 commission that spent a lot of money and found no one to blame...)
I want names and a time line and who did what to bring us to this point. Only then can we work towards a long lasting solution (not just a band aid).
A better solution (possibly)...
First of all, I am not an economist or an "expert" or a legislator or a lawyer... However, I do have common sense and I am a responsible investor and a stock holder. I understand the free market economy and how it works or suppose to work.
This crisis was years in the making and will take time to resolve. There are no quick fixes.
A bail out bill will only hide the problem and may cause more damage in the long term.
This crisis was years in the making and will take time to resolve. There are no quick fixes.
A bail out bill will only hide the problem and may cause more damage in the long term.
- In specific, I am worried about the "wrong" message this will send to other CEOs of large companies and financial institutions. They will take risks with impunity if they have the understanding that "they are too large to fail..." and that "Uncle Sam will come to their rescue" when times get rough.
- My solution - Convert these "sub-prime" mortgages into a long term bond. These bonds will be sold on the open market to investors and other countries as high risk vehicles. People willing to take risks and perhaps earn rewards down the road. This way, the American taxpayer will not be forced to bear the burden which they had no part in creating in the first place.
- To the American Voter - It is said that "we get the government we deserve..." If we continue to vote for public officials that allow these activities to go on year after year...it is no wonder that they will put their own interest ahead of ours. People in power will use it to gain riches and more power while we get hosed. Unless we wake up and vote them out of office, nothing will change.
- Finally, the only long term solution to our failed government is to adopt term limits. Our Founding Fathers never intended for our Congress to be a full time career.
It was meant to be a sacrifice, public service for a few years, and then return back home to pursue their own dreams and aspirations.
Who voted for this?
Congress passed this bill by a vote of 263 to 171.
The Senate voted 75-25 in favor.
Come November election, let's make our voices heard and vote these people out!!!
The Senate voted 75-25 in favor.
Come November election, let's make our voices heard and vote these people out!!!
Who are responsible?
Let us name NAMES:
(under construction)
(under construction)
- Chrstopher Cox, SEC Chairman
- Henry Paulson, Secretary of the Treasury
- Ben Bernanke, Federal Reserve Chairman
- Rep. Barney Frank, Chairman of the Financial Services Committee
- Senator Christopher Dodd , Chairman of the Senate Banking, Housing, and Urban Affairs Committee
- Franklin Raines, former chairman and chief executive officer of the Federal National Mortgage Association, commonly known as Fannie Mae
- Jamie Gorelick, Vice Chairman of Federal National Mortgage Association (Fannie Mae)
- Richard Syron, former CEO of Freddie Mac
- ACORN
- Senator Chuck Schumer
- Auditor companies
- Alan Greenspan
Final word
In almost all other businesses, or in Professional sports, when a person fail to perform, they are either fired or demoted...
That is called the incentive system. In a free society, the incentives are what drives people to excel and take risks and to reap rewards...
In this case, when 700 billions of dollars are lost, where is the accountability?
Shouldn't we know who screwed up?
Why are few in Congress asking the basic questions?
Why are CEO's allowed golden parachutes?
as their business failed...
That is called the incentive system. In a free society, the incentives are what drives people to excel and take risks and to reap rewards...
In this case, when 700 billions of dollars are lost, where is the accountability?
Shouldn't we know who screwed up?
Why are few in Congress asking the basic questions?
Why are CEO's allowed golden parachutes?
as their business failed...
New YouTube vids
House Of Lies: How Congress Failed To Protect Our Economy. Obama Bombshell
An informative look at who fought to prevent the subprime mortgage meltdown with tighter regulations, and who did not.
Runtime: 11:00
162950 views
10 Comments:
Some related links...
- Section by section analysis
- HR 1414 EESA of 2008
- House Roll Call vote
- Congress vote on HR 1424
- Senate Roll Call vote
- Senate vote on bail out bill
- Junk bond explained
- On Wikipedia
- CAGW web site (taxpayer watchdog)
- Read about the Congressmen who are the biggest spenders of our tax dollars.
- NYT article from 1999
- Fannie Mae relaxes lending...(the start of it all)
- Poll result (59% wants to replace all of Congress)
- Rasmussen Reports
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Reader Feedback
InternetJunkie wrote...
I don't know much about American politics but what I know is that bankers should be held responsible for the mess they have started; if the government is looking for a source to finance the bailout, they should be looking into all the bonuses (and I am sure offshore accounts) top bankers have been getting, and this should apply to each country affected by the crisis, not just the U.S.
Posted October 07, 2008
adez7 wrote...
Good points for sure, and there should be a giving of account by those who are responsible for sure.
Posted October 07, 2008
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