E.J.Dionne: "Liberal Democrats are in agony over bailing out Wall Street"

[babylonsister]

http://www.realclearpolitics.com/articles/2008/09/congress_right_to_demand_more.html

Improving Paulson's Cure
By E. J. Dionne


WASHINGTON -- Liberal Democrats are in agony over bailing out Wall Street. Conservative Republicans are in agony over massive government intervention in what they like to call the free market. Yet neither side wants to be blamed if the financial system implodes.

It gets more complicated: An administration whose critics believe it abused the power it grabbed during a different kind of national emergency after the 9/11 attacks is asking for unprecedented authority over the financial system. Yet the man leading the charge this time, Treasury Secretary Henry Paulson, is one of the few administration officials trusted by Democrats.

All this is happening six weeks before an election whose outcome could set the country on a very different course. Both presidential candidates are wary of getting on the wrong side of either the public's justified populist fury, or its desire for prudence in the face of potential catastrophe.

The broad outcome is already in view: Unless something very strange happens, Congress will pass a massive bailout of the financial system by the end of this week simply because every other opt

snip//

Almost everyone in both parties agrees that the final bailout bill should place real checks on the power of the Treasury secretary. Such accountability provisions were a key element in a proposal offered Monday by Senate Banking Committee Chairman Chris Dodd, D-Conn. Even if Paulson proves to be a sainted and savvy steward, what about the next secretary?

And if Congress can appropriate $700 billion for Wall Street, where is the help for everyone else hurting in this economy? Isn't it strange that an administration that could not come up with a comparatively modest sum to increase the number of children with health insurance could suddenly find all this cash for the financial industry?

Sadly, this bailout is inevitable. But it should be done right. Congress shouldn't be bullied into passing a flawed plan that will leave the next president in an even deeper hole.

[Fridays Child]

1. Giving taxpayers a stake in the "investment" should quiet the complaints that this is socialism.

Running the CEOs out of town on a rail (minus their plunder), setting this up with 100% transparency, and giving Congress complete oversight are also essential.

[ShortnFiery]

3. If Congress acts TOO FAST, like they did with The Patriot Act, we should VOTE THEM OUT!

in their next Democratic Primary, every last "no CEO left behind" democratic traitor.

Don't act too fast DEMOCRATS. DEMAND 100% TRANSPARENCY AND OVERSIGHT.

[Cosmocat]

4. actually, per modern "republican" thinking, this is the very definition ...

of socialism ...

not for nothing.

[Fridays Child]

6. But isn't it still capitalism?

[Indenturedebtor]

8. Which drives me crazy! This is NOT socialism

Socialism helps the people. It makes private resources public resources to benefit the populace as a whole. This is making public resources into private resources.

[BeyondGeography]

2. Sucks to be U.S. right now

k&r

[babylonsister]

5. My neck is still hurting from hurling around. nt

[Abugface]

7. The USA could use a little socialism, if there is anything left ...

to socialize after the capitalists have raped and pillaged our country.