Libertarians for Ron Paul » 2008 » October
”Treasury Secretary Henry Paulson, acting with finance ministers from the Group of Seven industrialized nations, Friday said the government will buy direct stakes in banks to stem a global financial collapse, as it became clear that his original $700 billion rescue, passed by Congress just last week, was not working.”
They used to call it socialism, before George Bush became the top Republican - full story @ http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/10/10/MNP413EVF4.DTL
Oct. 10 (Bloomberg) — Italian Prime Minister Silvio Berlusconi said political leaders are discussing the idea of closing the world’s financial markets while they “rewrite the rules of international finance.”
“The idea of suspending the markets for the time it takes to rewrite the rules is being discussed,” Berlusconi said today after a Cabinet meeting in Naples, Italy. A solution to the financial crisis “can’t just be for one country, or even just for Europe, but global.”
Full report @ http://www.bloomberg.com/apps/news?pid=20601087&sid=aP5mpMUORBWM
“Neither John McCain nor Barack Obama realizes that fact yet, but the myth of the omnipotent unipower, the essential nation, the country which declares that what it says goes, has been exposed to all. The Iraq debacle sullied Washington’s reputation, but did not destroy the illusion of American indispensability. Assorted politicians, like McCain and Obama, promised to restore US primacy, either through more bluster or better diplomacy. But the financial crash has wrecked the economic basis of America’s imperial pretentions. Washington simply can’t afford to attempt to run the world any longer.”
Full column by Doug Bandow @ http://www.antiwar.com/bandow/?articleid=13572
“As the financial crisis continues, the Bush administration, led by Treasury Secretary Henry Paulson, is moving ahead to enact the unconstitutional and socialistic measures contained in the recently passed and misleadingly nicknamed “bailout bill” — misleading not because it’s not a bailout, but because it’s much more than that.”
“This bill — officially the Emergency Economic Stabilization Act of 2008 — is, along with the Treasury Department’s “Blueprint for a Modernized Financial Regulatory Structure,” about nationalizing the entire United States financial system, a truly radical act that will hasten the United States of America along the road to total socialism.”
Full article by Charles Scaliger @ http://www.thenewamerican.com/economy/sectors-mainmenu-46/412
“Private markets fail, politicians from both parties jump to their rescue, and taxpayers get stuck with the bill. Libertarian candidate Bob Barr couldn’t have scripted a better story line to argue that Republicans and Democrats are interchangeable — with a helpless addiction to spending…”
“…Barr is sharpening his attacks on Republican nominee John McCain, hoping that fiscal conservatives frustrated over McCain’s support for the bailout will join his anti-government campaign.”
Full AP Story @ http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2008/10/09/politics/p111209D16.DTL&type=politics
“The Bush administration once again misled Americans into believing extreme danger was imminent and extraordinary U.S. government intervention was required to save our country,” says Bob Barr, the Libertarian Party’s presidential nominee. “And, once again, the intervention of the Bush administration has made things much worse.”
“In 2003, the Bush administration said that if we did not act immediately in Iraq, Americans faced imminent threats, and conjured images of mushroom clouds and terror attacks,” Barr explains. “Americans, trusting that our government officials knew what they were talking about, went along with the panicked calls for action, only to be bogged down in an occupation of Iraq for the last five years.”
“When financial firms began feeling the impact of years of irresponsible lending, Bush, along with Senators John McCain and Barack Obama, began invoking similar apocalyptic scenarios—like the Great Depression—justifying immediate government intervention in the economy,” Barr continues. “Now, taxpayers are $700 billion in the hole, and the economy is continuing its downward slide.”
Full statement @ http://www.lp.org/news/press-releases/bush-administration-hypes-danger-to-justify-intervention
“‘There is a growing feeling that banks … might instead decide to tough it out,’ said Thomas Caldwell, chairman and CEO of Caldwell Financial, a $1bn-plus fund manager.”
“For the past two weeks all eyes in the market have been focused on US Congress and its attempts to pass Treasury Secretary Henry Paulson’s bail-out package - a bill to allow the US government to buy up to $700bn of toxic mortgage-related assets from American banks, which would in theory free the credit markets and set the gears of global commerce spinning once more.”
“Last Monday, after the bill was thrown out by the House of Representatives, more than $1 trillion was wiped off the value of US stocks as the market was gripped by panic. The bill was passed on Friday afternoon, however, after the inclusion of $149bn of tax breaks and strict rules for participating banks.”
“But Wall Street analysts, believe the addition of so many terms to the bill might deter potential participants.”
Full article @ http://www.guardian.co.uk/business/2008/oct/05/wall.street.bailout
“There’s only one reason that Congress passed the financial bailout measure this past week: Wall Street and politicians kept warning of an impending credit collapse that could be solved only by rescuing some irresponsible investment banks and by purchasing securities that have become “bad paper.” ”
“Don’t believe the lies!”
“Pouring money into the investment banks at all - and especially by buying up their bad paper - is not a good way to maintain liquidity and credit.”
Full column by Ari J. Officer & Lawrence H. Officer @ http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/10/05/IN8N13AC2G.DTL
On Monday, September 29, the House of Representatives voted down the first attempt to pass a Wall Street Bail-out bill. After the House defeated the original bill, a revised version of the Bail-out was introduced into the U.S. Senate, and on Wednesday, October 1, passed by a margin of 74 to 25. On Friday, Ocotber 3, the House of Representatives voted to pass the Senate Bail-out bill.
Article 1, Section 7, Clause 1 of The Constitution of the United States says: “All Bills for raising Revenue shall originate in the House of Representatives…”
Therefore the Senate bill is a clear violation of The Constitution of the United States.
A variety of commentaries on this section of the Constitution, and why it was adopted, are available @
Michael Nystrom has posted a commentary about the sharp decline in stock prices that occurred on Friday, after the House of Reprsentatives passed the Bail-Out. Worth reading here http://www.dailypaul.com/node/66669
As the Los Angeles Times reports today, on Friday, after the House vote, the stock market declined to its lowest point since October 2005.