Does Senator Dodd Deserve Credit for the Bailout?
Senator Chris Dodd, D-Conn and Chairman of the Senate Banking Committee, has taken a lot of credit for the role he played ingetting the $700 Billion bailout bill through Congress. Today, Senator Dodd criticized John McCain for interrupting the process and painted McCain as a mad deregulator. Interference of regulation and oversight on the part of Democrats as it pertains to Fannie Mae and Freddie Mac is a major cause of this current financial crisis. Senator Dodd is part of the problem. Not only did he accept special favors from Countrywide, he is one of the Democrats in Congress who shielded Fannie Mae and Freddie Mac from srcutiny around its lending practices and financial stability. We might be in this crisis if we had not been deceived by Senator Dodd and Congressman Barney Frank and had access to the truth about Fannie Mae and Freddie Mac earlier.
The only thing I give credit Senator Dodd credit for is helping to craft a bill that is prolonging this market correction and giving the federal government enormous and unpredented power to directly intervene in the stock and financial markets by taking ownership of U.S. banks. What happened to only purchasing the troubled assets of these institutions? Government was too slow to take action on that strategy and now this strategy might not be effective and more drastic action is required. This is more evidence that this entire bailout strategy and this massive effort to intervene in the market is not the right strategy.
The only thing I give credit Senator Dodd credit for is helping to craft a bill that is prolonging this market correction and giving the federal government enormous and unpredented power to directly intervene in the stock and financial markets by taking ownership of U.S. banks. What happened to only purchasing the troubled assets of these institutions? Government was too slow to take action on that strategy and now this strategy might not be effective and more drastic action is required. This is more evidence that this entire bailout strategy and this massive effort to intervene in the market is not the right strategy.
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