By Tim Shipman
Telegraph
Last Updated: 12:09AM BST 05 Oct 2008
New questions have been raised about the $700 billion economic bail-out of the US economy as President George W. Bush warned that the world may have to wait weeks for the benefits of the rescue package to be felt.
In a radio address to the nation, Mr Bush hailed the historic deal, the largest in US history, for providing “the necessary tools to address the underlying problem in our financial system” and “put our economy on the road to recovery”.
But he warned: “While these efforts will be effective, they will also take time to implement. The benefits of this package will not all be felt immediately.”
Doubts about the package were fuelled when financial experts warned that conflicts of interest could arise because Wall Street financiers, many of whom have been blamed for causing the financial meltdown in the first place, will have a hand in spending the $700 billion of taxpayers’ money.
[…]
It is a move reminiscent of the US government’s controversial use of private military contractors to fight the war in Iraq.
Experts warned the approach is laden with financial pitfalls, since it may be impossible to find independent contractors who do not have a vested interest in which debts to buy and the price at which they buy them.
[…]
h/t: CLG
***
U.S. Treasury to Hire Up to 10 Asset Management Firms (Update1)
By Rebecca Christie and Robert Schmidt
Oct. 3 (Bloomberg) — The U.S. plans to hire five to 10 asset-management firms as Secretary Henry Paulson establishes the government’s new office for handling the financial bailout, a Treasury official said.
The department will also add about two dozen new employees, a mix of bankers, lawyers, accountants and others, the official said today on condition of anonymity. The Treasury’s first attempt to hold an auction to buy troubled assets from financial firms will take at least four weeks to set up, said the official.
[…]
h/t: CLG
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I took the pledge – Have you?
Well the congress has done it.
As of the morning of te bail out vote in the House of Representatives, polls showed that the American people were 74% against any bail out for the Wall Street fat cats. We wanted a fix from the bottom up and not from the top down. Fix ‘Main Street’ not Wall Street we told them. They didn’t do it.
However they did agree with the bloated $700 billion the Senate passed for their greedy Wall Street friends with another $150 Billion of Pork. So now our children are on the hook for at least $850 billion and no one can tell us if it will work or will be the last.
Meanwhile, ‘We The People’ continue to lose our jobs and homes.
Our elected representatives have chosen to ignore us, ‘We The People’ whom they swore to represent.
They think we are stupid. They think we don’t have the guts to clean house. They think ‘they know better’ than we on ‘Main Street’ do.
So…
I have taken the Pledge:
I, (LILLIAN JOHNSON), will NOT vote for any incumbent in the upcoming election regardless of party or who the opposition may be. I intend to do my part in ‘throwing the bums out’ in Washington that continue spending my money on those that have wrecked our economy rather than the people who sent them there. This is my solemn pledge.
Mail this to your Representative and Senators, to all your friends and all news media, both local and national. Email this to all the talking heads on the cable outlets, Lou Dobbs, Bill O’Reilly, Keith Olbermann, Chris Matthews, Alan Colmes, Sean Hannity, Rush Limbaugh and with every blog and talk show host you know of.
Urge everyone you meet to take the Pledge.
This the only way we, the American People, will ever take back our own government.
They keep telling us that the only power we have is the vote. So… For once let’s use it!!!!!
Believe me… if we turn them all out THERE WILL BE CHANGE!!!!
Do we have the guts? Do you???
If not, then you don’t have any right to complain if they continue to screw us over.