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The Grip Of Bad Ideas
Jesse Jackson 10/7/2008
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The largest savings and loan and the largest insurance company go belly up. One trillion dollars lost in the stock market in one day. Two trillion dollars lost in housing values. Congress hands the treasury secretary $700 billion in a panicked vote and heads out of town. This isn't the failure of one firm, or one industry. We are witnessing the collapse of a failed ideology -- what the famed investor George Soros calls "market fundamentalism," the belief that markets are always perfect and government should deregulate, cut taxes and get out of the way.

We now have learned once more -- as we did in the last Great Depression -- that that road leads off a cliff. Tax cuts led to massive deficits, sustained because foreign countries like China were happy to buy our dollars so they could sell us goods. And Wall Street, liberated from the regulations created during the last Depression, went on a binge. It invented exotic new products that no one understood, and then borrowed heavily -- $30 to $40 in debt for every dollar of capital -- to gamble on their rise. They had the party, and now we are paying to clean up the mess -- and to deal with what is likely to be a terrible and protracted hangover.

Yet the Wall Street implosion hasn't blown away the bad ideas. Look at the bailout plan passed by the Congress. It is
aimed at buying some of the trash debts of the Wall Street banks and investment houses in the hope of getting the financial system moving again. It does nothing for the real economy in which people work and live. Nothing on housing. Nothing to help states and localities about to make deep cuts in spending. Nothing for Main Street.

Keeping the banks afloat will help Main Street, we were told, because they supply the loans and financing that small businesses need. But this is like bailing out the pilot's cabin of a boat when the boat is taking on water through the hull. It won't work. The real economy is going into a downturn. People are losing jobs, hours are getting cut back, small businesses are hurting. States and localities will start cuts of teachers, police and construction projects. Restaurants and bars will lose business; many won't last. Retail stores will face a holiday nightmare.

But bad ideas have a steely grip. In the week before the Wall Street vote, Republicans in the Senate threatened a filibuster to kill even a vote on a small -- $50 billion -- stimulus package that passed the House. On the day of the Wall Street vote, they blocked even consideration of a measure to extend unemployment benefits to the hundreds of thousands now unemployed that are having a hard time getting jobs.

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By Keefe - The Denver Post * Posted 10/7/2008 12:00:00 AM
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Posted By: glorianelson  on Saturday, October 11, 2008

For once I have to agree with Jessie Jackson.  Good article.  The only way we can get out of this mess is by working together.


Posted By: Share the Blame  on Sunday, October 12, 2008

Taking advice from Jesse Jackson is none thing more than moral bankrupt. He is a poor role model for all people with his race baiting and corporate blackmail. So stop punishing us and retire Jackson. Wall Street greed, over zealous ambitions of our politicians and social programs have lead to our financial under minding.


Posted By: Jack's Son  on Monday, October 13, 2008

First time in my lifetime I've ever thought Jesse made sense.  Divorcing the source of the ideas from the essence of the ideas, thereby allowing us to judge the merits of the ideas independent of the baggage brought to the question by the author, might produce some viable and productive solutions to our current imbroglio.



"A failed ideology" perfectly describes how we were sucked into this debacle and using that same failed ideology to extract us is tantamount to throwing a drowning man some more "silly string."   Like the values of the bundled subprime mortgages, it's strength and utility are as strong as the strands of a cobweb.  I, for one, can recall purchasing a vehicle on credit, and having the "closer" tell my wife and I that there were others whose credit purchases at that lot would be enhanced because of our sterling credit rating.  We would all be "bundled" together and the "losers" would benefit from being associated with "winners."  I thought, at the time, how dumb an idea for bankers!  Little did I know!  Now there's a thought for the day:  our national economic credit structure underpinning housing, transportation, energy, payroll, small business, etc., was developed by car salesmen.  It figures.


Posted By: thomas passo  on Friday, October 10, 2008

Well, Jesse, since your ideas about "fairness" and having an activist

government giving things to folks who cannot pay for them or

understand them stand at the root of the problem I have a difficult time

giving you credibility in this situation.  SOcial engineers are just

as guilty as greedy and corrupt businessmen because neither consider

the unintended consequences of their ideologies.


Posted By: Tim Streit  on Friday, October 10, 2008

This financial crisis isn't about regulation or Fair Housing...it's about political cronyism and greed. The Bush Administration warned of Fannie and Freddie to the House in 2001 and 2003 and 2005. Greenspan went before the House in 2005 and warned. McCain gave a speech in the Senate in 2006 warning. EVERY TIME, THE DEMOCRATS BLOCKED ANY ACTION. THIS IS ALL ON TAPE AT YOUTUBE.COM. TYPE IN HOUSE DEMOCRATS AND FINANCIAL CRISIS AT YOUTUBE. LET'S JUST LET THE FACTS BE KNOWN AND QUIT BLAMING UNFAIRLY.


Posted By: jack sprat  on Monday, October 13, 2008

Wow, JJ, “Congress hands the treasury secretary $700 billion in a panicked vote and heads out of town”, then, those darn Republicans stops the handing over of $20 billion dollars to the communists in ACORN and other left wing groups to further hand out bad loans and further pervert the voting rights of legal voters. The Democrats handed out the $700 billion, by the vast “majority”, that not only didn’t work perverted the entire concept of the federal government back to the closest America came to a “benevolent” dictator. JJ’s love for the “man behind the curtain” of the far left loons is apparently his “repentance” for the “I’d like to cut the n…. off of BO”, statement. Too bad Blarny Franks, Chris Dodd and all of the other slugs who stopped the Republican attempt to stop the credit to the worst of the credit risks that sunk Fannie and Freddie. Until the Dems, as shown by $an Fran Nan in the last explosion of PMS and her "it's all their fault" in the partisan effort to shift the blame (a little disingenuous after trying to talk the economy into the tank for the last 8 years), instead of looking at who actually did what, we will only go in to a worse and longer lasting dip, oddly just like the "Roosevelt" policy did.


Posted By: fencerider rob  on Tuesday, October 14, 2008

Yes we need more social programs, that will fix it all. That will fix the vote for the next umpteen years for the democRats. 30% of non-taxpaying citizens is not enough, we need a majority, 50% or more. Give us a break JJ, you know nothing about what's gone on and you shouldn't opine on the subject. Go back to your race-baiting and hate-mongering, it suits you well.


Posted By: fencerider rob  on Tuesday, October 14, 2008

The blame for this fiasco lies squarely on corrupt DC and their moneymen of NYC. It's about time they started jumping out of windows again. But no us taxpayers will have to foot the bill again. We have been enslaved to our Federal Government and all you want to do is make sure your people get a bigger piece of the pie when everyone else's gets smaller. It's your agenda that is the failure here JJ, not the free market system (which isn't free anymore).


Posted By: David Moore  on Tuesday, October 14, 2008

Hey, Jessie, how about getting a job like the rest of us.  And also, how about mentioning the Community Reinvestment Act that your great hero, J. Carter, started!  That's the genesis of this whole mess.  Giving people huge loans when they don't have the means to pay them back, well, that's just not a good idea.  Get real, Jessie, and quit blaming the Rs!


Posted By: michaelsz  on Tuesday, October 14, 2008

This state of the "economy",...OR,...Should I say, the "state" of The,..."virtual economy",...Has been truly more than a "Smoke & Mirrors",...Of a virtual economy,...It truly been a virtual gameshow of "Follow the Leader",...Where the voters of a democratic nation,...Have seen fit to elect an official makeshift of a real national statesman,...Who bears a truly strong resemblance to a "Green Acres", character,...To occupy the Oval Office,...Where his has left his truly & ever rememerable,...And truly indelible mark on the state of the union,...So he could have the leaders of the,..."G7" leaders of the World,...Get a firsthand & upclose look, at his truly remarkable,..."Handiwork",...But, before his using,...His "real" "free ticket",...To his back on,... "Home on the Ranch",...In Texas,...He declares, that the people, the taxpayers, of this once, great nation, have simply to wait,..."Wait a little LONGER",...So, he get out of town,...For the proclaimed,..."Bailout",..."The Losers Program" to,..."WORK",...


Posted By: jack sprat  on Tuesday, October 14, 2008

".So, he get out of town,...For the proclaimed,..."Bailout",..."The Losers Program" to,..."WORK",..."

Thanks for the "treatise" on 'bama, and the "get out of town of illegal voters support group, A'CORN.


Posted By: jack sprat  on Tuesday, October 14, 2008

".So, he get out of town,...For the proclaimed,..."Bailout",..."The Losers Program" to,..."WORK",..."

Thank you for the "Treatise" on 'bama's A'CORN "get out of the town vote", and supported the Democrat "bailout" bill. I wouldn't call his Bone Head land deal quite "green acres", but what ever.


Posted By: michaelsz  on Tuesday, October 14, 2008

,..."Copy" "Writing",..."The",..."Sincerest",...Form of flatterly,...And,..."Gratitude"


Posted By: Freddy  on Tuesday, October 14, 2008

*Social engineers are just as guilty as greedy and corrupt businessmen because neither consider the unintended consequences of their ideologies.*



Err... Thomas? Have you thought about the possibility that the greedy and corrupt you speak of know exactly what they're doing and carefully considered the intended consequences of their ideological based actions?



By design, people. This is no accident.


Posted By: Daniel P. McCurdy, Sr.  on Tuesday, October 14, 2008

Well, Daryl...having Jesse "One-Color Rainbow Coalition" Jackson as your verbal point man has taken you from the top of one of my lists to the bottom of the other one, pretty much where Jesse resides. Who's next on your well-balanced luminary list, Al "Gimme that Microphone, You Cracker" Sharpton? Or maybe Farrakhan’s "Messiah" himself, Barry Hussein Nobama? Holy Mother of Pork, Daryl...where's the ole MSNBC journalistic balance, so aptly demonstrated by Keith Olbermann and Chris Matthews during the Democrat Convention? I've been on the other side of the table with Jesse Jackson as well as Jerry Falwell in my PR position with a Fortune 500 company...and the only difference between the two was that Falwell didn't try to squeeze a huge cash contribution out of my company just to "leave us alone" and not sic his boycott minions on our stores. We told him "Hell, NO, Jesse!" and he quietly moved on to his next potential corporate shake-down victim. Great image move, Daryl...just brilliant...


Posted By: jack sprat  on Tuesday, October 14, 2008

JJ

My compliments, love what you've done with the white hood, mr Hyme Town, sure glad our Rabbi, along with a lot of others, was beaten for you at Selma.

“Last update - 00:09 15/10/2008    

Jesse Jackson: Obama will rid United States of 'Zionist' control  

By Haaretz service  

Tags: Barack Obama, Jesse Jackson  

"The New York Post reported Tuesday that the Rev. Jesse Jackson said the United States will rid itself of years of "Zionist" control under an administration headed by Democratic presidential candidate Barack Obama.

The daily quoted the veteran civil rights leader on Tuesday as having said that although "Zionists who have controlled American policy for decades" remain strong, they will lose a much of their clout when Obama enters the White House."  

http://www.haaretz.com/hasen/spages/1028665.html

Apparently JJ, you're just an equal opportunity "hater", but please make up your little mind on just who you hate.

"Speaking to a fellow interviewee without realizing his microphone was on, Jackson said, "See, Barack's been talking down to black people.... I want to cut his nuts off."


Posted By: Glennis  on Wednesday, October 15, 2008

While corporate skullduggery and greed is a large part of the problem, deology is indeed at play in this debacle.  Jesse and his friends who insisted that everyone own a home whether or not they could afford it are as much to blame as anything else.  Add to that the fact that his friends in Congress resisted regulation and oversight of Fannie and Freddie's reckless actions, ignored the corruption within and you have culprits who to this day are blaming everyone but themselves.  To make matters worse, these same congressional leeches took whatever support or favors they could get.  They ignored warnings from the President, from McCain and others and now want to portray themselves as friends of the people.  As for Jesse, he's a complete waste of air space. His entire life has been dedicated to the empowerment and enrichment of Jesse, so whatever he has to say is worthless.


Posted By: Glennis  on Wednesday, October 15, 2008

Sorry...that should be ideology.


Posted By: jack sprat  on Wednesday, October 15, 2008

Glennis

Any way you spell it, you are spot on. JJ simply neglected to mention the list of his "party" members who stopped the "adults" from risky loans.

The word biased comes to mind.

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