Welcome back to The Cairns Blog's live continuing coverage of the Second Great Depression and the 2009 Bailout. You know, I've haven't really done too many economic-meltdown stories in my reporter job, but I make up for all that here at the blog, let me tell you.
Well, the latest bailout package was unveiled today and the stock market rendered its verdict by promptly taking a bath. A big bath. Down almost 400.
You know, I think the Obama gang have lost sight of a few things -- and so have a lot of Americans who seem more intent on punishing Wall Street bigshots than solving the problem. The problem is that there's no liquidity. Businesses aren't getting money, and as a result they are going under and people are losing jobs. Reputable people with a good credit history are being treated like the worst deadbeats imaginable by lenders at the moment, and that's not what should be happening.
The solution seems obvious: get the system back to normal where people can be extended decent credit again, so that people won't lose any more jobs!
But all we are getting is a lot of hot air and a lot of money being thrown around, with not enough guarantees that (a) people will be extended more credit or (b) any jobs will be saved. All that seems to be happening is that the bailout money is going towards propping the system up rather than bailing the system out. It's propping up these bigshot executives, who then turn around and sack the help anyway. What the heck good is that?!
And we're hearing a lot of talk from government officials that maybe it'll work, or maybe things will still go wrong with the bailout. Well, that's not good enough. The bailout package HAS to work, otherwise you are throwing good tax money right down the drain for no real reason.
Until we see a bailout that actually bails people out, and extends credit lines and saves jobs, Wall Street will continue its crisis of confidence and NOTHING will get accomplished. People in Washington need to focus their attention on those two issues right now. They can't just throw money around.
By the way -- speaking of President Obama's Monday news conference, was that a love-in or what? These silly journalists were lobbing all these softball-type questions, and Barack Obama was rattling off these PR-spin answers about all these people losing their jobs and how we should do something about it, without really going into much detail about specifically what he wants done about it. That is not what I want to see from politicians. I want to see them up there telling it like it is without spinning a line of bull or any of this "I feel your pain" nonsense, and I want these journalists to press them and ask the tough-but-fair questions! Not these softball-type lobs that Obama can hit out of the ballpark! What a joke. I just want to see some action that will get things done, that's all. Anyway, that's it for now.