What is the Democrats' next step ?

[ColbertWatcher]

The Friedman-GOP economics of "trickle-down" failed as several lending institutions went into bankruptcy, or receivership. Wall Street seemed to be expecting a hand-out, the Treasury Secretary of this GOP administration proposed their donors one that was written 2 months ago, the American people resoundingly opposed giving the GOP-devised blank check to billionaires ...



... Congress attempted to write legislation in response to the GOP's threatened plan, Pelosi put her neck out by submitting a bill for a vote, trusting the word of the GOP's Boner Boehner, who promised a certain number of votes and couldn't lead his party's membership initially to participate, then ultimately to support a compromise.

Every market around the world (except one in the Middle East) took a dump today.

Now, what should the Democrats do next?

[harun]

1. Other: Stall until the criminals are replaced (n/t)

[FSogol]

2. Tougher bill should cap both credit card and mortgage rates

[harun]

5. That would show real back bone, wish they would do it.

[Debi]

3. Pelosi must buy all the House GOPers a balloon and warm pretzel

and take them to the park for some fresh air and 'run about' time.

[ColbertWatcher]

24. LOL! n/t

[Democrats_win]

4. Write a much tougher bill. Only make sure that there is real relief for foreclosure victims.

[katty]

7. yes, much tougher

[Virginia Dare]

10. Yep. Put everything the repukes wanted out right back in...

make them squirm for a few days, then make them eat it.

[Tierra_y_Libertad]

6. The ones in congress? They could do something useful for a change.

Rather than merely pretend they are while they're applying lipstick to Bush's pig.

[TransitJohn]

8. Which Democrat?

Man I really fucking hate misused apostrophes.

[ColbertWatcher]

16. Okay, Im' sorry. n/t

[Virginia Dare]

9. Walk away and do nothing until the repukes scream for mercy..

I want to see Boehner on his knees begging like Paulson did.

[depakid]

13. Play a game of chicken with the wold financial system and the economy?

How about the ideologues on both sides get out of the way and let the reasonable adults handle this- which, incidently, is what Obama would like to see, too.

[Virginia Dare]

14. That would be preferable yes...

unfortunately that boat sailed today.

[grahamhgreen]

21. A game of chicken? It's not a game - it's FAILURE OF 'FREE MARKET' neo-con policies - we need a

sharp turn towards the SUCCESSFUL SOCIAL PROGRAMS LIKE THEY HAVE IN EUROPE!

[hogwyld]

26. Exactly!! we finally have the opportunity

to kill off the capitalist/free market system for good, and replace it with a socialist system similar to ones in europe. First step is to seize all but $500,000 from all the rich fuckers.

[ColbertWatcher]

25. "ideologues on both sides" WRONG!

The Dems did what they promised to pass the bailout; the GOP failed to keep their promise.

The Dems compromised; the GOP did not.

Please do not repeat the GOP meme that there is no difference between the two parties.

[dkofos]

11. Go on vacation, like they planned to do.

[The Wielding Truth]

12. Treat us like citizens explain the bill in layman's terms.Break it

down so we know what we are giving away and what we have to lose. We can get this if it is explained so we can move forward and repair the damage that has been done by the free(lawless)markets.

We need open books and accountability everywhere in government,business and military spending. Remember the huge amounts of money just plain lost in Iraq. The actions taken all over the world in our name is horrible with torture and in our own country with the corporate rule and the bill of rights stepped on.

The foxes need to be removed from our hen house as soon as possible.

If we don't like it, but we can see we need it, then we will do it, but it seems too risky and to beneficial for the very thieves who shock us down.

[adamuu]

15. At this point, Obama should become a shadow president n/t

[ColbertWatcher]

17. How would that work? n/t

[adamuu]

18. He should come in and say "if I were president, this is the bill I would want"

Then Pelosi should say, "okay, you got it" and tell all the Dems to vote for it, ignoring the Republicans. Dems should quickly pass this voting down party lines. Then Bush will have to hold his nose and pass it, or veto it... If he vetos it, Congressional Dems say, "alright then the whole thing is on hold until next January." If he passes it, we get a bunch of stuff we want (healthcare, mortgage relief, unemployment relief, ALL OF IT, you name it). Either way, it is good for our cause.

In effect, it would be like Obama was already president. That is what I meant.

[ColbertWatcher]

22. But, the GOP would undermine it and the Senate couldn't pass it. n/t

[Kip Humphrey]

19. My "other" elaboration...

First, we are in a recession. During recessions markets, equity, and liquidity contract. So, let the recession work.

To correct the problem and move back toward a rational economy, we need to unwind the equitized debt markets and they need to go away over time (over 5 years). Globalization has failed so now is the time to bite the bullet, take our lumps, learn our lessons, and reinvent ourselves as a democracy.

My 10-point solution is:
1. Cap the derivatives and hedge funds markets, preventing new equitized debt being created and re-regulating the industry to prevent future equitized debt
2. Cancel mark-to-market reporting by banks for 6 months
3. Require intra-bank short-term lending
4. Disallow bank failures for 12 months (have failed banks administered during 1 year period by the FDIC, reinstating ownership after that period)
5. Convert primary residence foreclosures to 6% 30-year fixed-rate Fannie Mae mortgages with required 6-month payment insurance during any 12 month period (premiums paid by homeowners)
6. Bring the overnight fed funds rate to 0% by year-end for 6 months (review in 5 months)
7. Add a $250 billion 30-day payroll loan fund available to US businesses at prime solely to meet payrolls
8. Over the next 5 years, incrementally increase all margin requirements (except oil futures) to 24%. Raise oil futures margin requirement to 50% over next 6 months.
9. Provide a $5,000 business tax credit for each and every new US job created in 2009 (with US citizenship verification). Total government infusion ~ $355B.
10. Reduce capital gains on bank 6-month and 12-month savings certificates to zero for 3 years

[grahamhgreen]

20. OTHER: Stall and blame Repubs and reaganomics until the election, then:

NOW the Dems can BLAME IT ALL ON THE REPUBS - IF THEY DO NOTHING! (more)



1) Repeat that it is a failure of Reaganomics/WTO/FTA/deregulation/neo-conservativism/objectivism/Ayn Rand/Greenspan.

2) Dems can say - we tried to pass a bill to fix it - Repubs rejected it.


3) Now we can suggest:

+ Put 700b into prosecuting those that got us into this mess,

+ siezing their assets,

+ and rebuilding America's infrastructure.

+ As well as starting the new economy of single-payer not-for-profit healthcare,

+ the new economy of unlimited, sustainable energy.

+ Ending the war, prosecuting the war profiteers and re-collecting the funds stolen by these profiteers.

[razors edge]

23. Go to Disney World.

The only place this fail-out was going to have any meaningful impact was Fantasy Land.

To the wealthy who think life for them has been irrevocably altered, there is some solace in the new Starbucks menu, it's called the sucks donut.

We all know the middle class is being sacrificed and cannibalized, we all know the middle class is where uprising to power takes hold of it's future.

But our middle class rose very high on the euphoria of our victory in WWII, the wealth and stature that followed built a unique society. It may take quite a bit more whittling away of this insularly layer of fat to actually cut the middle class where it hurts. Sadly, we will find out, one way or the other.