[update: here it is]

Anyway, I’m glad she mentioned the “maverick” bit about McCain. I’ve never heard that before.

I agree people are under-educated on this issue, but I wouldn’t say anyone who opposes it doesn’t understand it necessarily. And you’re right, Congresspeople were hoping it would pass, but didn’t want to vote for it themselves. I imagine they will pass it tomorrow though on the second try.

Yup, I fully understand that. (That’s why I specifically called it “the notion being pitched” instead of “The Truth”). So it comes down to a judgment call. With the proverbial house on fire I side with the folks that say let’s turn on the water hoses right now and contain this as much as possible immediately. Yes, there is a risk that doing so will not contain the fire after and will just add a big water bill to the fire damage. I just happen to believe in this case that the Republican and Democratic leaders are correct in this case that waiting poses a much greater risk than acting.

I think most in congress believe that too but they are more worried about offending their under-educated (on this issue) constituents than doing what they believe is best for the country. It seems to me that many of these congressmen were voting no and praying for it to pass anyway.

Joe Six-Pack is going to feel the pinch for a long time regardless of any legislation that is passed. We should not expect lenders to be as liberal as they were the last several years for a good long time to come.

As for the regulation, i also have no doubt there will be a lot of new regulations. There always are after a crisis. However, they won’t prevent the next one. It’s the economic cycle, boom and bust.

And yes, banks are in the business of lending, but if they are deleveraging they will use new money to bolster capital rather than originate new loans. And in an environment of falling asset values, banks are less likely to lend or be much more careful about who they lend to.

I would love to see a correlation between the Dow and GDP, unemployment, etc. The Dow is such a small index, it only does a fair job of portraying market activity. I think Clark is right on this one. Lending rates for banks are out of control right now and it’s only a matter of time before Joe Six-Pack feels the pinch.

Thank goodness for a better-informed Senate.

No, I’m not saying “let most of the economy blow up,” because the financial industry is just a fraction of the economy. I don’t believe their blackmail that everyone will die unless we hand over the money they demand. If half the banks in America go under, we’ll do business as before with the half that remain.

John, I think you are seriously underestimating how interrrelated the economy is. To quote Donne, “no man is an island.”

DKL, I understand what you are saying but I think you still have to acknowledge they are measuring different things.

What is happening this month is entirely beside the point I was making. I am more concerned about what might happen in six months if the credit markets remained largely frozen.