Diary

What's still wrong with the bailout

While the pro-bailout crowd has yet again announced an agreement, the rank-and-file have not yet signed on.Here is Pelosi’s summary of the bill.

Note some obvious flaws:

  • No salary caps for executives of firms that take taxpayer money.
  • Vague language around taxpayers getting equity; my guess is that many firms would get taxpayer money without giving up equity.
  • Automatic additional funding unless blocked by a supermajority. If this is a bipartisan solution, why not require affirmative Congressional action for additional funds?

There is still time to press the rank-and-file to fix this stuff. Investment advisor Mike Shedlock says to hit the switchboard!

There is a bill in the house. There is not one in the Senate so we need to create as much doubt as we can, as soon as we can.

Do they have the votes? That is another story. They won’t if we can scare every junior member in the house, or appeal to the right few in the Senate.

There are still changes worth getting. So let’s get them

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