September 25, 2008

"I heard that Wall Street traders will treat us like liberators."

Comment by Peter Hoh on last night's post about the Bush speech that made me laugh the saddest possible half-laugh.

28 comments:

ricpic said...

Bush will sign anything the socialists in congress throw on his desk. Horrible.

Concerned Citizen said...

A recession is the fire that cleans out the dead wood in the business world.

Remember the forest fire in Bambi? The animals ran to safety?

Here is the movie 'Bambi Meets Godzilla.'

MadisonMan said...

So reward Peter with a label!

dr kill said...

The best comment I've ever read here. Mubruk.

erniecu73 said...

Instapundit links to an article on The Wall Street Journal this morning that states the bailout can make the taxpayers money. So, those of you with some economics background should disect it. Just a suggestion...

Hoosier Daddy said...

Mike Pence, a fellow Hoosier congressman had a decent quote yesterday about this.

"I must tell you, there are those in the public debate who have said that we must act now. The last time I heard that, I was on a used-car lot. The truth is, every time somebody tells you that you've got to do the deal right now, it usually means they're going to get the better part of the deal."

That's Hoosier common sense folks.

mcg said...

If that HuffPo poster was mad at Bill Clinton before, wait'll he gets a load of this.

-----------

The former president thought Bush's address Wednesday night on the economic crisis had a "positive reaction".

"I thought it was the clearest statement of why we're in the fix we're in, at least what the nature of it is and why some national action is needed," Clinton said.

He said that both Democrats and Republicans "should move as quickly as they can" on the president's economic rescue plan but that both parties "want to know exactly how this $700 billion is going to be invested..to stabilize the system."

------

If he reads the stuff he said about McCain, then I think his head will positively explode.

mcg said...

erniecu73, the key is how they price the paper they buy up. The goal frankly is to pay as little as possible while actually restoring stability. I certainly think it is possible for the government to come out ahead on this. Who knows if it actually will.

peter hoh said...

I realize that it's not the most glowing compliment, but I'll take it as a compliment nonetheless.

mcg said...

Seems like a great compliment to me. It's only the situation that makes it sad.

mcg said...

Interesting news: Schieffer: Paulson Pleaded for McCain to Save Bailout

integrity said...

So funny, I almost cried. Not as funny as smoking too much blog though. Close.

MadisonMan said...

All right!

Welcome to the club peter. Bissage will send you email detailing the wonderful benefits. In the meantime, charge anything you want.

Ruth Anne Adams said...

I love Peter Hoh.

Dust Bunny Queen said...

As I stated last night somewhere in a thread. This isn't a bail out where the Fed is giving money away. They are buying assets that have actual intrinsic value at a very much reduced market value.

The mortgage securities that the government is buying will have more value as the economy stabilizes and can be sold on the open market at a profit.

Think of it this way. Your neighbor is experiencing extreme financial difficulties and has to hold a huge garage sale. Many of the items are being sold at "fire sale" prices because he his desperate to get some cash and the rest of the neighbors aren't so sure about their own future and are reluctant to buy his vintage furniture or his Fiesta Ware collection. You however, are lucky enough to have some deep pockets and some time to hold onto the Fiesta Ware. So you buy the collection at .30 cents on the dollar to the real value. SCORE!!!

Your neighbor doesn't have to sell his house now and leave a big gaping hole in the neighborhood where vandals and squatters can come and live and drive down your own property. In fact, his garage sale gave him the ability to spruce up his house with a new coat of paint and a new roof.

In a year or so, you can have your own sale or take your Fiesta Ware to a consignment shop and sell the items at .75 on the dollar and make a profit.

Shanna said...

Paulson told Sen. Lindsey Graham yesterday that the bailout plan would fail unless McCain came in and brought balky Republicans aboard

As I thought, McCain is doing this because he is a responsible adult. Good for him. I hope this shuts up all the political mud being thrown at him, but I don’t think it will.

I understand the republican concerns, but I think history shows that this kind of action has the potential of coming out even or ahead for the government. And if we can avert disaster by doing this, then that’s what we need to do.

MadisonMan said...

The problem is that there is nothing to prevent the Secy of the Treasury from giving his good neighbor and business pal $1.10 on the doller for the fiestaware.

At least that's how I understand the bill sent to the Hill from the White House.

So do you trust that Obama's Secretary of the Treasury will show fiscal prudence?

mcg said...

Actually, MM, I do. For all the partisan hostility here I think these guys do want this to succeed, and I think an Obama administration will, too. Indeed one of the reasons that I really think that both Obama and McCain need to be in on this is that one of them is going to have to keep it going after Bush is gone.

mcg said...

I'll be honest, MM, I told my wife last night that I'm willing to accept McCain losing this election if this so-called "stunt" damages his standing in the polls. I really do think that this economic crisis is real, huge, and imminent. I don't think that we have time to see a perfect solution hammered out. With all due respect to Mike Pence I do think we have to act now.

So while I don't think the American people will punish McCain in the polls over this---if they do, I'll live with it. I would rather have an Obama administration with a decent bailout than a McCain administration without one. Obviously I'd prefer that not be my only two choices but if they are so be it.

That kind of candor would be lost on some folks around here but I think you're a more reasonable chap.

MadisonMan said...

Absolute power -- and it seems like the original bill granted that -- has a known effect. And I think Mike Pence's quote will really resonate with some skeptics. Like me. This problem is probably bigger than either campaign -- but as I've said I'm unconvinced that the immediate fix -- the one sent in by the White House -- is the right fix.

I'm hopeful that the bipartisan bill being worked on now has some balances to go with the checks being written from my account. So I don't think your only two choices will be Obama with or McCain without.

mcg said...

I'm happy to see the bill tweaked on and concerns on both sides addressed (even if not completely). I wasn't expecting Congress to rubberstamp Bush's plan. My concern was frankly that members of my own party were appearing to favor obstruction and delay as a negotiation tactic.

mcg said...

Drudge: Congressional Republicans and Democrats report agreement in principle on financial bailout... Developing...

Bissage said...

I have no political agenda.

I visit Althouse so I can hang out with some cool people and peter hoh is one of the cool people.

There you have it!

gregq said...

Firms will haggle, but eventually cave -- they need the cash. I am figuring Mr. Paulson could wind up buying more than $2 trillion in notional value loans and home equity and CDOs for his $700 billion.

Now, why didn't Bush say that? Well, he kind of hinted at it. But maybe he didn't want to say it for reasons embodied in Peter's great great comment.


He didn't say it because:
1: It's irrelevant. If we need the "bailout" (and I reluctantly think we do), then we need it whether or not it will cost us money.
2: Under promise and over deliver beats over promise and under deliver.
3: It's a battle that he doesn't need to get involved in. Let other make that argument.

MadisonMan said...

Well, the reports are that despite McCain's efforts to help, lawmakers have arrived at a deal. Whether or not this is a good deal for the US Taxpayer? Time will tell.

mcg said...

Well, maybe it's me being partisan again but I think McCain's move accelerated the process. For one thing it signaled to both parties that he's going to back a compromise deal; and both parties were actively seeking that backing.

And for another, the faster it gets done, the less credit he gets, which is good for Reid.

So whether he will get credit for it or not I think his move helped. And back to my non-partisan mode, what matters to me most is that a decent deal get done. This is one case where I think the bipartisanship probably helped.

MadisonMan said...

It's surprising to think that Congress can actually be bipartisan. You'd think they were running for re-election or something :)

peter hoh said...

Thanks for the kind words, Ann, MadisonMan, Bissage and Ruth Anne.

It's nice to be complimented for something other than my cooking.