Political Economy

The NY Times has a story on how yesterday's bailout deal failed. This is an insider's tale with blow by blow detail. It is a fascinating view into how the U.S. conducts government policy. Below is a snippet from the post and a link to the…

I caught this quote via Political Wire. It reminds me of Paul Wolfowiz's quote for why the Bush Administration used WMDs as the rationale for war in Iraq.Some of the most basic details, including the $700 billion figure Treasury would use…

As Hank Paulson looks to push through his Economic Patriot Act, it bears remembering that just a few months ago he saw Covered Bonds as a potential solution to U.S. problems with declining home prices. They are not the solution. This…

If you hadn't been following it, credit markets are still seized up -- even more than when Paulson first presented his bailout plan the Economic Patriot Act for Congressional approval. The fact of the matter is Paulson has shown…

The uproar by American taxpayers about the Paulson Bailout plan is likely to torpedo this plan. Even amongst Republican lawmakers, the plan is looking like a complete bust.Just moments ago, President Bush was on TV asking for American…

"Section 8. Review. Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency."Sounds like Paulson wants…

While you have your eye firmly peeled on the financial mess splayed in front of you, other industries are busy setting themselves up to profit from close business ties to the Bush Administration before a new Sherriff comes to town.The…

I have taken my time to let the basics of the Paulson Plan seep in before I rushed to judgment. But, the time to judge has come and the plan comes up short on all counts. His plan is geared more toward Wall Street and protecting the…

Hank Paulson seems to be everywhere these days. However, it does seem that U.S. President George W. Bush has vanished since the credit crisis began.The result? The lowest approval rating of the Bush Presidency, with a full 78%…

FT Alphaville has two posts today that mirror my view on the Lehman Brothers bankruptcy. They basically say it was a huge mistake to let Lehman fail. Lehman was, in fact, too big to fail and the blow up in the markets since its failure…