Greenback

Is the $700 Billion Really for Bailing Out the Fed?

Don't forget the Fed's low interest rates that fed the financial speculation. This makes G.W. Bush as much a Democrat, as Lieberman is a Republican.

The $700 Billion Disconnect: Lost in Translation

Sorry, but the Fed is the place of origination for all the cheap money that investors used. Now falling real estate values after 20 years of increases are putting the value of the assets at risk. The place to start in fixing this is at the Fed. Monetary policy determines the accessibility for currency circulation. Investors have moved the currency out of production of goods and services into investment speculation. Fiscal policy applies revenues of the government and Paulson is asking Congress to lift the ceiling on the federal debt to $11.3 TRILLION!!.

Yet it's the Democrats who are pushing this deal. Their fingerprints are all over it. Capping CEO salaries is a joke. Why not make pension funds and 401(k)s more accessible for ordinary people to withdraw? There's a real concession. Why not raise interest rates and increase capital gains if you want to stop speculation?