The House Republicans are a bunch of financial morons. They played politics today with the life savings of the American people – apparently on the altar of ideology. Just like John McCain, who turned this very serious situation into a farce, they put politics over country.
When the closing bell rang this afternoon at the New York Stock Exchange, $1.2 trillion of wealth was wiped out. That is not money from the pockets of Wall Street fatcats – that is money from all of our retirement plans and college savings plans. The Dow plunged 777 points – the largest point drop in history and the biggest percentage drop since the first day of trading after 9/11. The S&P plunged 9% and the Nasdaq plunged 10%.
After the House and Senate leadership worked throughout the weekend to add homeowner protection, oversight, and executive pay caps to the initially flawed bailout plan, it appeared the bailout bill was going to pass this afternoon with bipartisan support. But, then the House Republicans took up with a case of free market tunnel vision and political posturing.
To add insult to injury, the House of Representatives has decided to take tomorrow off because of the Jewish holidays. So, on Tuesday, the American people and their retirement savings are on their own. The Dow plummeted hundreds of points at the closing bell this afternoon. Foreign markets are plunging as I write this. It is a near certainty that tomorrow will see another bloodletting on Wall Street when the opening bell rings. With no plan to fix the credit crisis as Congress left town without doing their job, the markets tomorrow will do well not to end up in a free fall.
Hold on to your ATM cards, we are in for a wild ride. As credit freezes up worldwide and as the financial markets go south, it is only a matter of time until there is a run on banks, and jobs on "Main Street" start to disappear.
It is the economy, stupid! The House Republicans today slapped the American people with the back of Adam Smith’s invisible hand. It is time for the American people to slap them back at the polls.