when we argued about inequities among we four siblings, “Few things in life are fair.”
But we, as individual citizens, are taking on the debt of at least four major institutions (Bear Stearns, Fannie Mae, Freddie Mac and A.I.G.), because we are told these companies are too big to allow to fail.
Well, we, as individuals, have more than $790 billion in credit card debt while also struggling with re-set mortgages and home equity lines of credit, but we are being allowed to fail: to drown in debt, lose our homes, go into bankruptcy.
But ours is a largely consumer-based economy, and without consumers, the economy withers. We as a group are too large to allow to fail, too.
So while we’re bailing out financial behemoths for their fiscal stupidity (and allowing their CEOs to float lightly to the ground on golden parachutes), why not bail out the U.S. consumer, too?
The Great Depression lasted for 10 years – from 1929 through WWII. In order to cut that time in half, we should immediately cap all credit card rates in the U.S. at 10%.
In addition, credit card interest should be deductible from personal federal income taxes for five years.
This, in addition to smart energy policy that spurs investment in green technologies and high-mileage vehicles, would insure that the U.S. consumer is not crushed by the collapse of the housing bubble and usurious credit card rates, while avoiding the complete collapse of the consumer economy.
This won’t help me at all: we are lucky enough to be indebted only to our car, our home and our student loans.
But if the U.S. economy – and thus the world’s – is to be kept out of a major recession that borders on another Great Depression, U.S. consumers must be at the center of any plan. And yes, I do believe the top 2% – who will ride out the recession just fine, thank you very much – should be the ones to pay for it. After all, it is our consumption that has allowed them to amass such wealth in the first place.
A one-time tax credit or stimulus check won’t work this time.
I’ll be sending a more concise version of this to Patty Murray, Maria Cantwell and Brian Baird. Please email your representatives and tell them your ideas for keeping us all above water.
Stop the bailout!
We can’t let this happen before our eyes.
“…authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency.
Why are we considering giving almost a trillion blank check to Paulson, a Bush apointee and former ceo of Goldman Sachs, the only bank not tanking now because of insider info.
“Privatize profit, socialize loss”? Sinclair Lewis’ prediction might be coming true: “Facism will come to American wrapped in the flag and carrying a bible”.
The reason they have to “act quickly” is so they can pull the wool over our eyes quickly before we can do anything about it.
Not to mention:
“The size of the proposed buyout is staggering and would likely hamper the ability of the next president to pursue new domestic programs without major tax increases.”
if this thing goes through, no oversight and bye bye health care. Its basically Bush’s way of controlling the economy beyond his time. Permanently. Thank heavens Obama has already come out against it.
For the non-local:
Senators:
http://www.senate.gov/general/contact_information/senators_cfm.cfm
Representatives:
https://forms.house.gov/wyr/welcome.shtml
ref:
http://www.mcclatchydc.com/homepage/story/52835.html
Thought this latest press release from the Delavar campaign might be of interest:
Republican Candidate Delavar Urges Baird to Vote No on Bailout
(Washougal, WA) – Republican congressional candidate Michael Delavar calls for Brian Baird (D—WA) to vote against the proposed bailout. “We should let normal and ultimately healthy market readjustments happen without putting the taxpayer on the hook for the ill-advised policies and failed practices of Congress, the Federal Reserve, and the lending institutions themselves.” said Delavar.
“Instead of focusing the national discussion on the rights of the US government to impose restrictions on banks that use the proposed bailout funds, we should instead be focusing on the more pressing question: Do we really want to add nearly ten percent more to the national debt in one week?”
“Moreover, the great majority of the underlying mortgages are serviceable and will continue to function for the next private institution that owns the mortgage. The main issue is whether the US government has either the authority or the wisdom to go into the mortgage business. From my reading of the rulebook of Congress (the Constitution), they most certainly do not have the authority.”
“Before Congress decides to indebt Americans to the tune of over $2000 per person, perhaps they should wait to see if Americans—who are typically very generous—would be willing to voluntarily write $2000 checks to these institutions. If the people do not wish to further burden themselves voluntarily with this debt, there is no reason that Congress should do it for them.”
Michael Delavar is the Republican candidate for Congress in Washington State’s Third Congressional District. His website is http://www.delavarforcongress.com.