Archive for November 14, 2008

Writing History for the Winners

While it’s true that campaign strategies are uniformly judged only in retrospect, more than the usual airtime is being spent singing the praises of Obama’s campaign team. In Monday’s Fresh Air, NPR’s team recaps the greatest pivot points of Obama’s presidential career (hint: debating Hillary on unilateral meetings, and the “Celebrity” ad), and suggests that, as the candidate had wished, he has emerged from the election “intact.” McCain, on the other hand…

A Farewell to PUMAs? Obama Ponders Clinton on the Cabinet

Barack Obama would be well advised to remedy the gender gap in politics by putting intelligent, respected women in power – especially, when the time comes, on the Supreme Court. But in the meantime, there’s one woman in particular he should pay attention to: Hillary Clinton. Not the least for her nearly-successful primary campaign, Senator Clinton deserves a strong voice in the administration.

Welcome to Paulson’s $700 Billion Bender

When I heard on Tuesday Treasury was redirecting the remaining $400 billion of the bailout to further capitalize banks and other credit institutions, I flipped. What about homeowners?! And I’m not just talking about those facing foreclosure. I’m talking about millions of homeowners who are in fixed-rate mortgages and who are watching their home values plummet and their neighborhoods become littered with “for sale” signs. (Consider yours truly in this group.)

Before I totally freaked out, I had a glass of wine and did some research. Why would Treasury bail (pun intended) on buying the mortgage-based securities? I read the interagency statement from the Fed, FDIC, et al., and I was somewhat reassured. By further capitalizing banks, there is greater liquidity to assist businesses and consumers and settle down banks so that they can work with borrowers to stave off “preventable foreclosures.” The statement directs banks to work determinedly and in good faith with borrowers. It also says future loans must be sound and credit-worthy. Notably lacking is the “or else” part of the equation. Ultimately, the statement reads like a list of friendly suggestions.

The shoe drops further after the jump.

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