If you were one of the fine folks who were not sold on the Bail Out strategy of the Bush Administration, well looks like you had reason to be.
Based on the latest round of talks with financial representatives from around the world, Secretary Paulson and the 'good guys' in Washington have finally seen the light and changed course on their strategy on the Bail out.
The apprehension was based on the ideals of the Bush Administration whereas government involvement should include outright ownership of the the companies they are bailing out.
In other words, they want your money with not strings attached.
If they really were for an "open market", they should just let the markets decide who and what sinks and not come crying to the government for assistance.
"The turnaround by Treasury Secretary Henry Paulson, announced Friday as part of a coordinated plan to rescue the financial industry, has raised questions about whether he squandered valuable time by trying to sell Congress a plan that he and other administration officials had failed to think through.
" Those of you against this Bail out were backed up further by the 2008 Nobel Prize winner in economics.
Paul Krugman, who has been critical of the Bush plan further has been substantiated by the Paulson change of direction.
In an Oct.
12 article on the New York Times' Web site, Krugman wrote about the global financial meltdown and its reach into Europe, saying that British Prime Minister Gordon Brown and Chancellor Alistair Darling "defined the character of the worldwide rescue effort, with other wealthy nations playing catch-up.
" Whereas U.
S.
Treasury Secretary Henry Paulson rejected a "sort of temporary part-nationalization" involving governments giving financial institutions more money in return for a share of ownership, the British government "went straight to the heart of the problem ...
with stunning speed.
" Krugman said the major European economies have "in effect declared themselves ready to follow Britain's lead, injecting hundreds of billions of dollars into banks while guaranteeing their debts.
" "And whaddya know," Krugman continued, "Mr.
Paulson - after arguably wasting several precious weeks - has also reversed course, and now plans to buy equity stakes rather than bad mortgage securities.
"
Based on the latest round of talks with financial representatives from around the world, Secretary Paulson and the 'good guys' in Washington have finally seen the light and changed course on their strategy on the Bail out.
The apprehension was based on the ideals of the Bush Administration whereas government involvement should include outright ownership of the the companies they are bailing out.
In other words, they want your money with not strings attached.
If they really were for an "open market", they should just let the markets decide who and what sinks and not come crying to the government for assistance.
"The turnaround by Treasury Secretary Henry Paulson, announced Friday as part of a coordinated plan to rescue the financial industry, has raised questions about whether he squandered valuable time by trying to sell Congress a plan that he and other administration officials had failed to think through.
" Those of you against this Bail out were backed up further by the 2008 Nobel Prize winner in economics.
Paul Krugman, who has been critical of the Bush plan further has been substantiated by the Paulson change of direction.
In an Oct.
12 article on the New York Times' Web site, Krugman wrote about the global financial meltdown and its reach into Europe, saying that British Prime Minister Gordon Brown and Chancellor Alistair Darling "defined the character of the worldwide rescue effort, with other wealthy nations playing catch-up.
" Whereas U.
S.
Treasury Secretary Henry Paulson rejected a "sort of temporary part-nationalization" involving governments giving financial institutions more money in return for a share of ownership, the British government "went straight to the heart of the problem ...
with stunning speed.
" Krugman said the major European economies have "in effect declared themselves ready to follow Britain's lead, injecting hundreds of billions of dollars into banks while guaranteeing their debts.
" "And whaddya know," Krugman continued, "Mr.
Paulson - after arguably wasting several precious weeks - has also reversed course, and now plans to buy equity stakes rather than bad mortgage securities.
"
Source...