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What will happen to the country if Congress fails to pass the bailout? - Robert Reich
Politico ^ | September 25, 2008 | Robert Reich

Posted on 09/25/2008 9:17:06 PM PDT by Shermy

If Congress doesn't pass a bailout bill, Bernanke and Paulson warn the economy might go into a deep and prolonged recession or worse. The mere fact that the two people who essentially run the American economy have issued such a warning is itself enough to generate a self-fulfilling prophecy of economic meltdown if the bailout doesn't come through -- at least in the weeks leading up to Election Day. Congress knows this, and doesn't want to be held responsible. So it's almost certain that a bill of some sort will pass, and probably by Friday. But what happens if by some twist of political drama it doesn't pass? A 5 percent chance of major meltdown of capital markets in the US and around the world.


TOPICS: Government; News/Current Events
KEYWORDS: bailout; financialcrisis
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1 posted on 09/25/2008 9:17:06 PM PDT by Shermy
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To: Shermy

Oregon State will beat USC


2 posted on 09/25/2008 9:17:48 PM PDT by BurbankKarl
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To: Rastus

Interestingly, Reich does not follow the claim there is a real crisis any greater this week then last, doesn’t credit/discredit Bush, and takes these tactics as being more about perception.


3 posted on 09/25/2008 9:18:39 PM PDT by Shermy
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To: Shermy

Reich, like Soros, doesn’t really want intervention. He wants chaos prior to the election so we get the Marxist Messhiah.


4 posted on 09/25/2008 9:19:39 PM PDT by whitedog57
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To: Shermy

Reich comes up short again...;^)


5 posted on 09/25/2008 9:19:41 PM PDT by politicalwit (AKA... A Tradition Continues...Now a Hoosier Freeper)
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To: politicalwit

Like waiting one week would do anything..

These people are scare mongers. THIS IS THE NEW GLOBAL WARMING...


6 posted on 09/25/2008 9:20:42 PM PDT by GreaterSwiss
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To: demoskowitz

JP Morgan isnt scared.


7 posted on 09/25/2008 9:21:42 PM PDT by BurbankKarl
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To: Shermy

There will be a new pop singer, who will start out virginal and then turn into a trollop.


8 posted on 09/25/2008 9:23:07 PM PDT by MrEdd (Heck? Geewhiz Cripes, thats the place where people who don't believe in Gosh think they aint going.)
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To: Shermy
The mere fact that the two people who essentially run the American economy

Memo to Robert Reich: The names of countries where people "run" the economy start with "Soviet" or "People's".

9 posted on 09/25/2008 9:23:46 PM PDT by TheWasteLand
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To: BurbankKarl

Does that surprise mean the financial crisis is as big as Bush implies?


10 posted on 09/25/2008 9:25:00 PM PDT by Shermy
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To: whitedog57

Look at the last two slides on the presentation on this guy’s website. Its on the bottom of his page and called “The Subprime Bailout.” Not the last slide, but the two previous, particularly the overnight ABCP spreads. They ARE huge and much worse this week than last week Reich, you creep.

http://www.public.asu.edu/~absander/

Now you can you what Paulson and Bernanke are scared about.

Soros, Reich, Buffett — they all want something terrible to happen to get Obama elected. Scum.


11 posted on 09/25/2008 9:25:55 PM PDT by whitedog57
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To: Shermy
They'll going to have to fly in the face of public opposition and pass something, maybe sweeten it up somehow to make it more palatable. If they don't, and the bottom falls out, they are the ones that are scared and have to cover themselves that they did something.

I don't think Bush would dare issue an EO, but I'm not sure.

12 posted on 09/25/2008 9:26:15 PM PDT by Aliska
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To: politicalwit
LOL!

I love it how Rush pronounces his name as Reissssccccccccccch!

13 posted on 09/25/2008 9:27:00 PM PDT by To Hell With Poverty (If you rob Peter to pay Paul, you can always count on Paul's vote. - Howie Carr)
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To: Aliska

The provisions demanded by the rats are so oderous that no bailout is preferred. The rats want to give ACORN a huge amount of the bailout and give judges the power to dictate loan terms. The stench of these two provisions is overwhelming.


14 posted on 09/25/2008 9:30:59 PM PDT by businessprofessor
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To: BurbankKarl
Oregon State will beat USC

It just happened!

15 posted on 09/25/2008 9:31:12 PM PDT by rawhide
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I think Mr. Reich comes up a little short in his guess.


16 posted on 09/25/2008 9:31:57 PM PDT by freeplancer
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To: BurbankKarl

They did! Go Beavers!


17 posted on 09/25/2008 9:37:43 PM PDT by Rennes Templar (If the election were today, Obama would win.........in Europe.)
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To: Shermy

Somehow I suspect Reich was one of the persons that caused this mess in the first place.


18 posted on 09/25/2008 9:40:31 PM PDT by TruthWillWin
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To: whitedog57

bingo you got it


19 posted on 09/25/2008 9:41:19 PM PDT by ari-freedom (We never hide from history. We make history!)
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To: TruthWillWin

He was,

but I find it interesting here his take is agnostic on the crisis as Paulson portrays it.


20 posted on 09/25/2008 9:41:47 PM PDT by Shermy
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