Calling Paulson's Bluff (Robert Kuttner in Huffington)

[struggle4progress]

... One senior Congressional Democrat told me, "They have a gun to our heads." Paulson behaved as if he held all the cards, but in fact the Democrats have a lot of cards, too. The question is whether they have the nerve to challenge major flaws in Paulson's plan as a condition of enacting it.

Paulson also faces serious defections in Republican ranks, with several key senators and congressmen resisting a bailout of this scale. Sen. Richard Shelby, the ranking Republican on the Senate Banking Committee, speaking on CBS's Face the Nation, flatly blamed the crisis on greed and deregulation, and questioned the terms of Paulson's plan.

Paulson's bill would give him carte blanche to spend up to $700 billion over the next 24 months to buy toxic securities from financial firms. This presumably would "unclog" capital markets, the financial economy would begin functioning normally again, and then the government would recoup what it could.

The plan is outrageous on several levels. It demands nothing from these firms in return. It holds the Treasury Secretary accountable to no one. And it extends the most generous terms to Wall Street while offering nothing to Main Street ...

http://www.huffingtonpost.com/robert-kuttner/calling-paulsons-bluff_b_128075.html

[williesgirl]

1. Paulson must be forced to get congressional approval for EVERY purchase, with the books of each open

fully to Congress and the PUBLIC. No golden parachutes should be permitted - give them 2 weeks severance and send them on their way. They led this country and their companies to ruin and deserve not even that - they should be in jail.

If not, no deal. Let them fail. We can find another way to prop up our economy. rec'd

[bemildred]

4. Paulson needs to be kicked out on his ass and replaced with someone competent

and willing to serve the public interest.

[flamingdem]

2. They had better smack him down while there's time to get concessions

at a minimum. Otherwise we can kiss a lot of Obama's change good-bye, which of course the republicans would like to see happen.

[monmouth]

3. This way the coffers will be empty when Obama wants to proceed with

healthcare for everyone. Oh yeah, they think they're slick. Pull out of Iraq by the end of the month, big savings right there....

[chill_wind]

5. I was just getting ready to post this-- thanks. K & R n/t

[chill_wind]

6. "The plan is outrageous on several levels." **3 Key talking points **

should come from every single Dem's lips in Congress and in the media:

*It demands nothing from these firms in return.

*It holds the Treasury Secretary accountable to no one.

*It extends the most generous terms to Wall Street while offering nothing to Main Street.

[bluesmail]

7. 'Hank' (that name for him sickens me) is a Bushie

Loyalist Pig. HE should be thrown in prison for abetting a MAJOR CRIME. Head Hurts

[chill_wind]

8. .

[yurbud]

9. the Democrats should have the tar boiling and barrel of feathers waiting the next time he shows up