The Mudcat Café TM
Thread #114650   Message #2452264
Posted By: Amos
28-Sep-08 - 02:30 PM
Thread Name: BS: The Bailout
Subject: RE: BS: The Bailout
Bloomberg:

"ept. 28 (Bloomberg) -- U.S. presidential candidates John McCain and Barack Obama each deserve credit for a breakthrough in talks on a $700 billion plan to revive the credit markets, their advisers said today.

Republican McCain worked with party members in the House to achieve plan changes such as government insurance of mortgage- backed securities and a phase-in of federal aid, Senator Lindsey Graham said on the ``Fox News Sunday'' television program.

``The fact is the House Republicans were not in the mix at all'' until McCain arrived at the talks, said Graham, a South Carolina Republican. McCain ``was decisive in regards to the House being involved.''

Senator John Kerry, an Obama adviser, disagreed. McCain said ``he was going to interrupt his campaign to come down and save the negotiations,'' according to the Massachusetts Democrat. ``What he did was interrupt the negotiations to come down and save his campaign.''

Senate Banking Committee Chairman Christopher Dodd said in a CNN interview today that McCain's trip was ``a political stunt'' that ``delayed and slowed down this process.''

Obama was supportive of negotiations in a ``mild'' and constructive'' way by calling in over eight or nine days of talks, said Dodd, a Connecticut Democrat.

Advancing the Talks

Senator Judd Gregg, a New Hampshire Republican, said on CNN that McCain and Obama both helped advance talks with their presence in Washington.

The two candidates ``focused Americans' attention'' on the severity of the financial crisis and also ``gave focus to Congress,'' Gregg said.

After talks at the Capitol ended after midnight, lawmakers said they had made a breakthrough and expect to announce an agreement on legislation later today. The House may vote tomorrow.

The plan would let the Treasury begin purchasing distressed debt securities from financial companies affected by the record number of home foreclosures. After five years, if there was a net loss to taxpayers, the president would have to submit a plan to Congress to recoup the funds, according to a plan outline."