Wall Street, Main Street and Government Intervention
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Populist anger from both the Left and the Right had a lot to do with the Wall Street rescue's failure in Congress. Both presidential candidates say they know it's unpopular, but they agree that it's time for action. We hear arguments for and against intervention now. Also, Somali pirates, surprised when they seized a ship loaded with heavy weapons, are now surrounded by the US Navy. Can they strike a bargain?
Banner image: Senator Christopher Dodd (D-CT) talks to reporters on Capitol Hill. Photo by Alex Wong/Getty Images
A Brief Lull in the Financial Storm? ()
Yesterday's vote in Congress repudiated leaders of both parties, but it was President Bush's plan that went down to defeat with a majority of Republicans voting now. Today, the President said the stakes are high for all Americans, "a choice between action and the real prospect of economic hardship for millions of Americans. For the financial security of every American, Congress must act." Peter Coy is economics editor of BusinessWeek magazine.
- Peter Coy: Economics Editor, BusinessWeek
The Bailout That Wasn't and What Might Be Next ()
The Wall Street rescue would have cost $700 billion taxpayer dollars. Its failure in Congress cost $1.2 trillion in private investment in just one day. President Bush warns that millions of Americans face "the real prospect of financial hardship" if the government doesn't take action. More important than stocks is the tightening of credit. A lot of the votes against the rescue came from members of Congress who feel vulnerable in next month's election. They were swamped with phone calls, letters and e-mails from both the Left and the Right. Are the interests of Wall Street and Main Street fundamentally different or really the same? Would any government action be better than none? Are we seeing "a political version of climate change" and a "new era of class warfare?"'
- Nina Easton: Washington Editor, Fortune magazine
- David Cay Johnston: former Tax Reporter, New York Times, @davidcayj
- Matt Kibbe: President, FreedomWorks
- E.S. "Jim" Browning: Stock Market Reporter, Wall Street Journal, @WSJ
- John Mercurio: Senior Editor, The Hotline
Ahoy, Ye Pirates! Get Off That Ukrainian Freighter! ()
Piracy in waters off the horn of Africa originally was a response to illegal fishing. Since the collapse of government in Somalia, it's become big business. Now, some pirates have seized more than they may be able to bargain for, a Ukrainian ship full of tanks and other heavy weapons. Those Somali pirates on the Faina responded to a satellite phone call from New York Times reporter Jeffrey Gettleman. We'll hear what they're saying now that they're surrounded by American warships.
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