Bail-out politics, continued: While Wall Street burns

"Lawmakers fiddle, then reach for the fire-hoseWHEN Congress does nothing, Americans usually breathe a sigh of relief. But when the House of Representatives failed to pass a rescue package for the financial system on September 29th, panic ensued. The stockmarket crashed: more than a trillion dollars in paper wealth evaporated in a single day. That, plus the shock waves that battered markets around the world, seems to have made lawmakers sit up and take notice. Before the vote, Barney Frank, the Democratic head of the House banking committee, observed that: “It is hard to get political credit for avoiding something that hasn’t yet happened.” Perhaps that is why the rescue plan was rejected, by 228 votes to 205. Some lawmakers simply weren’t convinced that disaster was imminent if they failed to act. ..." (2008-10-2)

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