Something I haven’t heard yet is how much input bankers and brokers had in the drafting of the bank/insurance/brokerage bailout plan. For that matter, Henry Paulson came from Goldman Sachs, so that puts an element of doubt as to whose interests are really being served. Newsweek has a feature article on Paulson that I haven’t read yet. If there will be further foreclosures, thereby punishing the borrowers, will the big money boys be likewise made to feel some pain?
George W. is pushing for approval of the plan. Isn’t he the guy who said if we did what he wanted with taxes and the economy — which we did — everything would be great? Well, things didn’t turn out so well. So why should we believe him now? I’m very pleased to see so much bi-partisan push-back on the bailout, but I wish I were hearing a more realistic assessment of its pitfalls from Barney Frank.