Breaking: House Defeats Bailout Bill

228-205.

ETA:  The U.S. House of Representatives vote page must be overwhelmed.  I’ve been trying to load it for ten minutes.  According to NPR, only 66 Republicans voted yes, while 94 Democrats voted no.  I’ll update when I can get to the numbers.

UPDATE:  Here’s the roll call vote, just in case you haven’t already seen it.  Turns out 65 Republicans voted yes and 95 Dems voted no.  In a rather amusing twist, commenters at al.com are calling for the ouster of Rep. Spencer Bachus (R-6th District), who voted yes, apparently unaware that he is, once again, running unopposed.

12 Responses to “Breaking: House Defeats Bailout Bill”

  1. Songbird says:

    I wish I understood how bad this is, if it is bad…All I see is the Dow falling again.

  2. Del says:

    Bonner voted Aye. Gee, I’m shocked.

  3. Well, I must say that I am glad it failed. Why should I bear the burden for someone else who made bad investments.

  4. Cindi says:

    I’m glad it didn’t pass. I sent emails to both senators and to Bonner. Nobody comes to my rescue if I make bad financial decisions. Heck, we’re still trying to recover from Katrina!!!

  5. Kathy says:

    I don’t know the right answer here, but I do know that it won’t be only Wall Street “fat cats” who are hurt by the crash. There are plenty of regular people who depend on pensions or other retirement funds to live. They didn’t make bad investment decisions, but they will suffer. There are people who invested money for their kids’ college who will suffer. The very rich who lose a few million aren’t going to go without anything essential. Others will.

  6. Renee says:

    I don’t know the right answer either, Kathy. But I agree with you that the fall out from all this won’t just hurt the big players. My kids’ college tuition was to be paid from our stock/bond investments. This is scary stuff. I’m inclined to think the Fed knows economics better than I do and isn’t stepping in just to bail out a bunch of rich Wall Street bankers but is trying to keep the economy floating. But what do I know? Not much… Need to do more reading and studying.

  7. But the long term deficit created by us spending the money is worse off in the long run. Keeping prices artificially high isn’t the answer. The market HAS to readjust itself at some point.

  8. Don says:

    Renee said: “I’m inclined to think the Fed knows economics better than I do…..”

    I don’t know who Renee means by “the Fed”, but I believe that no one in Congress (other than Ron Paul and perhaps very few others) or the administration really has a clue about economics and how it affects government policies and every American. Members on both sides of the aisle in Congress acknowledge his expertise on economics, yet no one seems to have heard Paul’s warnings about our economic policies for the past 3 decades and they are still ignoring them. The chickens have finally come home to roost, or so it seems.

    Those who want to see our financial system become a socialist government controlled system rather than the free market system that has made America the nation that it is should hope that a similar bill will be introduced and passed. Those who oppose that idea should hope that if a similar bill is introduced that it will fail again.

  9. Kathy says:

    Don, I really hope Ron Paul is paying you for all this positive publicity. Once more, with feeling: we do not have a free market in this country and likely haven’t since the days when people bartered on a local level. A free market is a theoretical construct that assumes equality of power and access to (accurate) information for all parties involved in a transaction.

    (Why, yes, I do have a degree in economics.)

  10. Don says:

    Kathy, I wish Paul, or anyone for that matter, would pay me anything. :-)

    I believe Paul would agree with you in that what most people call a “free market system” is not free and that is the crux of the problem. Certainly the system needs some “sunshine” oversight regulations of some sort to avoid the type problems we have today and to assure accountability. Several members of Congress as well as the second President Bush have attempted to get legislation passed that would provide it, but their efforts were thwarted. Some information about this is in the post “Speaker Pelosi, could you be a little more specific?” @ http://degreeofmadness.typepad.com/degree_of_madness/2008/09/speaker-pelosi.html as well as many other internet sites, but I chose this one because the blogger is almost a neighbor of yours in the Birmingham area.

  11. Kathy says:

    Don, I don’t mean to sound like I support the current bill, whatever it is. I don’t think anyone in Congress knows enough about the specifics to make an informed decision at this point, with the possible exception of the people who have been in on the crafting of the bill from the beginning.

    RE: the post you linked, Pelosi is right to criticize the Bush administration’s policy. If W wanted to conduct a war in Iraq, he should have budgeted the money to pay for it and levied sufficient taxes to do so. Instead, we’re in hock to China up to our necks. I don’t let Congress off the hook for this; spending bills require Congressional approval. But the Republicans who want to whine about hurt feelings now had a majority in Congress for most of Bush’s term in office, and they, the supposed fiscal conservatives, let him get away with this crap for six years.

    Again, I don’t know the answer, but I’m not sure sitting back and letting markets tank around the world is the way to go. Rushing into a bad bill (and I really don’t know if this one is bad or not) doesn’t seem prudent either.

    One more thing, and I know you’ll agree with me on this, George W. Bush has no one but himself to blame if the country reacts to his declarations that urgent action is needed RIGHT NOW with expressions of disbelief. He’s lied so often about so much that the public probably feels like they’re dealing with the boy who cried wolf.

  12. Almod says:

    Something interesting to point out… I can’t remember where I saw it, but it seems John McCain was taking credit for the “success” of the bill mere hours before it tanked.

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