Archive for September, 2008
Paulson's Panic–Stirling Newberry
This is by Stirling Newberry, from The Agonist. Hell No, We Won’t Blow (it all on Paulson’s Panic) Or why the bail out is a bust. I’ve never been prouder of the blogosphere than in the last week. The opposition to an ill-considered bailout has spread from every direction. From people insiders and outsiders, from ...Read more.
Emergency Economic Stabilization Act of 2008
In case anyone wants to read the 110-page bailout bill, here it is, available via the Los Angeles Times.
Gargantuan Bailout: The Sequel
This posting is from D&S collective member and frequent blogger Larry Peterson. To see more of his posts, click here. The updated Treasury bailout plan has now been submitted to Congress, and indications are that it will pass, though it seems that many lawmakers have yet to read the bill. The bill contain important improvements ...Read more.
A Better Bailout–Joseph Stiglitz
By Joseph E. Stiglitz The Nation, September 26, 2008 The champagne bottle corks were popping as Treasury Secretary Henry Paulson announced his trillion-dollar bailout for the banks, buying up their toxic mortgages. To a skeptic, Paulson’s proposal looks like another of those shell games that Wall Street has honed to a fine art. Wall Street ...Read more.
Economists Question Basis of Paulson's Plan
By Neil Irwin and Cecilia KangWashington Post Staff WritersFriday, September 26, 2008; Page A01 The Bush administration’s pitch for a sweeping bailout of the financial system has centered on two simple premises: that the economy could suffer a crippling downturn if action is not taken very quickly and that this action should consist of the ...Read more.
A Better Plan than the Paulson Bailout
In 1992, a Swedish real estate bubble burst, creating a banking panic and freeze. The Swedish loaned banks money, but in exchange, forced banks to promptly write down bad real estate investments and issue warrants to the government. Warrants–the right to purchase stock at a preset price–gave the government bank stocks cheap. At the end ...Read more.
A U.S. Financial System of Our Own
This is from Cynthia McKinney, candidate for president. A Gift for a Generation: A U.S. Financial System of Our Own Last week, I posted ten points (that were by no means exhaustive) for Congressional action immediately in the wake of the financial crisis now gripping our country. At that time, the Democratic leadership of Congress ...Read more.
Saving the Financial System–Thomas Palley
This is from economist Thomas Palley, from his website. A friend told me the economist Charles Kindelberger had two rules for a credit economy. Rule one was everybody should know that if they get over-extended they will not be bailed-out. Rule two was if everybody gets over-extended they must be bailed out. The U.S. economy ...Read more.
The Bailout Negotiation Breakdown
This posting is from D&S collective member and frequent blogger Larry Peterson. To see more of his posts, click here. Beyond the Elite Reality Principle? The failure of Congress to pass the Treasury’s plan to bail out the shadow banking system may portend nothing less than a fundamental shift in the American—even global—economic development, akin ...Read more.
Boston-Area Protests against the Bailout
Justice and peace organizations across the US are organizing a concerted public outcry against the Bush administration demand for a $700 billion blank check for Wall Street. As the administration did when pushing through the Patriot Act and launching the attack on Iraq, it is using scare tactics and threats to avoid public debate and ...Read more.
