Understanding the Financial Crisis - V

Wow - I've been way, way, way too nice about this. I assumed that the level of damage to our economy was so imminent and so disastrous that Paulson and Bernanke and Bush would present a solution I could trust was going to be responsible. I'm not stupid, I'm trusting. I am amazed by the level of incompetence and selfishness.

The devil really is in the details. I was happy to figure I had a general understanding of the idea that the government was going to buy loans from ailing financial institutions. There were questions, but I understand the basic concept.

Now that people are getting a chance to think about this and their voices are out there, I'm realizing that the details make this bailout a joke. I'm disappointed in myself for being trusting. I should have known better. I really should have.

Especially when I consider that my initial reaction was to let them fail. Let the institutions fail and it might be bad here for awhile but we have to get out from under this system and its best to do it all at once. I thought I was being too harsh and I figured there are regular people suffering hardship from this that I don't know about and I'm not showing empathy. And, truthfully, how an insurance company and a mortgage company and an investment bank were all failing seemed a bit odd to me. I don't know what the flow and connection is. So, its not responsible for me to advocate the failure of our economic system if I don't understand all the details. There you are. From radical to trusting.

Bernie Sanders is an Independent Senator from Vermont, he says "If its too big to fail, its too big to exist." And we should consider breaking up some of the large multinational corporations as well.

Up to a few weeks ago the Bush Admin was saying the fundamentals of the economy are strong and now they say wer're on the verge of economic meltdown.
Why did we not have enough money to repair our infrastructure (Katrina) and we don't have enough money to fight poverty, but we do have enough money to bail out the fat cats? Ridiculous. Outrageous.

There's a big push by the Bush Administration for congress to get this done really fast. Sounds similar to the big push by the Bush Administration before going into Iraq and before the Patriot Act and before the war powers act. It really is a disaster, but we don't have to be bullied into action. Congress better not be bullied.

Facts to know...
The Glass-Steagall (sp?) act in 1999 is the legislation that allowed the financial 'swapping' that has caused this economic problem.
Phil Gramm was an architect of the bill. Phil Gramm was McCain's primary economic advisor in the campaign before he had to resign because he said the country was a bunch of whiners.
Bob Rubin and Larry Sanders were the representatives of the Clinton administration who were helping create the legislation. They became a part of Barack Obama's economic team sometime in spring (I think).

Hillary Clinton has suggested that the solution is to just stop foreclosures. Stop them so people won't be forced out of their homes.