Posted on 09/23/2008 5:19:04 AM PDT by SE Mom
Freeper Keeper post! Thanks.
“They all know that by Friday they will pass legislation that gives Dubya and Paulson pretty much everything they want with as much pork added as possible.”
Bingo!
http://www.humanevents.com/article.php?id=28678
Republican Study Committee Releases Alternative to Bailout Proposal
The Republican Study Committee has released an alternative to the Treasury Department’s bailout proposal and will discuss the proposal at a press conference today. Conservatives have expressed concern that the Treasury’s proposal will alter the country’s free-market system, awards massive authority to the Treasury, and fails to penalize debtholders and shareholders. The committee’s free-market alternative is listed below:
REFORMING A TAX CODE THAT DISCOURAGES CAPITAL FORMATION
Two-Year Suspension of the Capital Gains: Immediately suspend the capital gains rate from 15% for individuals and 35% for corporations. By encouraging corporations to sell unwanted assets, this provision would unleash funds and materials with which to create jobs and grow the economy. After the two-year suspension, capital gains rates would return to present levels but assets would be indexed permanently for any inflationary gains.
REFORMING A FAILURE IN GOVERNMENT INSTITUTIONS
Schedule the GSEs for Privatization: Transition Fannie and Freddie over a reasonable time period to truly private companies without special government privileges and open them up to real market competition. This reform would 1) establish commonsense limits for their capital requirements and portfolio holdings relative their size, 2) focus their mission on affordable housing only, not profit making, 3) require them to pay an appropriate risk-based amount for the government guarantee they enjoy, 4) subject them to state and local taxes and accurate SEC filings like every other private for-profit corporation, and 5) ultimately provide for the phase out their GSE charters once their conservatorship has ended. In a matter of mere weeks, Fannie and Freddie have gone from too big to fail to too dangerous to repeat. This hybrid illusion must not be allowed to continue.
Stabilize the Dollar: Repeal the Humphrey-Hawkins Full Employment Act which diverts the Federal Reserve’s attention from long-term price stability to short-term economic growth. In an effort to fuel the economy, this additional mandate has encouraged the Fed to keep rates artificially low, fueling economic boom and busts, and now a strong up-tick in inflation and the decline of the dollar (as investors free dollars for hard assets). This reform would require the Fed to establish a numerical definition for price stability and maintain a policy that promotes it over the long-term.
REFORMING A FAILURE IN GOVERNMENT REGULATION
Suspend “Mark to Market” Accounting: Suspend the mark-to-market regulatory rules for long-term assets. These rules require financial firms to mark assets at current market levels, even where the no market exists and any immediate transactions would result in fire-sale prices. Instead of allowing firms to mark these assets to their true economic value, these rules contribute to a downward spiral as firms have to evaluate their assets not on the basis of their long-term investment but rather on a short-term mania.
This crisis was caused by the very philosophy most conservatives oppose. Governmental interference in the free market to force banks and credit institutions to hand out monies for mortgages to those who could not afford a pot to pee in, in return for the votes of the same people. Republicans without principles joined democrats in this wholesale vote buying scheme. The Federal Reserve was enlisted in this effort to set artificially low interest rates, and thus robbing savers of what they rightfully should have received for their savings. Savers, you see, are an inconsequential voting group. To hell with them.
Why let that stop you...?
Just watching the ticker....Fannie Mae/Freddie mac stocks are ‘surging’...go figure...(eye roll)
Wonder how many dems are buying more FM/FM stocks today?
Thanks for the link. Headed to read it.
This isa Clinton’s final chicken coming home to roost! 9/11 was the first.
FINALLY A QUESTION ABOUT WHY STUDENT LOANS AND CREDIT CARD DEBT ARE NOW INCLUDED!!
PAULSON STUMBLING ON ANSWER!
Well...welll..well...it’s getting good folks. Who is this guy?
I love him!!
Why not just exclude credit card debt, car debt and student loans?
Jim Bunning R from Kentucky
He’s my senator and I’m damn proud of him.
Yep all anyone has to do is go to Google Finance and look at the Dow or S/P or Nasdaq and max the graph out to max. It shows all down to 1971. It is crystal clear.
We are in no danger at all.
But when was the last time on CNBC or FOX or any financial TV show that you saw a graph of the stock market out to 1971?
Its a big scam. Election year Overthrow of the Country in a bloodless Coup. This Bailout will wipe out more banks faster than any supposed looming fiancial disaster.
IT REWARDS FAILURE.
The good banks out there will be the ones who suffer because they won’t be getting any of the gravy off of the BULLSHEET BAILOUT GRAVY TRAIN. ...so what will investors do, they will pull their cash out of these good banks and put it in the banks that are contolled by the gobamint.
KILL THE BULLSHEET BAILOUT NOW.
Hopefully the dems will keep adding more and more requirement and restrictions that it will die and get vetoed by our next President - President McCain.
He was awesome!! Sending him some email to thank him today!!
anyone see the Pinkies with their signs benhind Bernanke?
“He’s my senator and I’m damn proud of him.”
You have every reason to be....HE WAS TRULY AWESOME just now!!
No..are they there? (eye roll)
You must be one of the ones who sat out the ‘06 election, right? How “effective” are you?
Do you not remember Jumpin’ Jeffers, the stalls and calls for the “nuclear option”? And the constant harping of the media about how the mean and unfair Republicans were going “nuclear” any minute?
Did you not notice that the RINOs (Collins, etc.) haven’t voted and won’t vote with the Republicans on anything of substance? This last was probably influential in the decision of the Republican leaders to avoid “nuclear option” — even more than the threat of what would happen if (when) the Dems took the majority.
How about opening your eyes to notice that over the last 2 years, since so many “conservatives” decided to “teach them a lesson,” the media has given Pelosi and Reid carte blanche to do shut down debate, any Republican input or amendments, and go further than the “nuclear option” would have ever allowed. Did your hometown paper cover the fact that the Republicans stayed in Washington during this last recess to protest the Dems’ shutting out all energy legislation?
Oh, and when was the last time that *you* did so much as write a letter to that paper?
Did you hear Paulson say that China was very complimentary of his plan?
I just about fell out of my chair!
I just bet China is loving every minute of this....the USA is marching to communism!
I don’t come from Kentucky but I recall that the last time Bunning ran for re-election there was a lot of talk that he might be senile. It is clear from his questioning today that this is absolutely not true.
Not at all true. He asked some of the most intelligent questions I’ve heard all morning! Dodd up again...trying to pass this stuff very fast.....WHY??
Dodd needs to be indicted..(eye roll)
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