Well, to be fair, it was chump change all along - it's never been more than a side issue, but it's the only economic issue McCain can go anywhere near.

Oh, definitely -- but two years ago, I would have thought that many billions was real money.

It is also fairly cynical, I think, and possibly not addressing what the ramifications will be to joe-schmo on the street.

I can't say I really understand everything. But I'm thinking the problem is that there is so much money in the mortgage backed securities that nobody wants that the credit market is frozen, and businesses won't be able to borrow money. At some point that means individuals won't be able to borrow money and the economy will perhaps seize up. Sort of like draining the oil out of an engine?

My rep apparently voted against the bailout bill, according to CNN.

Do you have a link for how to check how your rep voted?

I did think it was interesting how all this mess made the earmarks "scandal" seem like a whole lot of nothing during the debate on Friday. McCain was like, "$18 billion!!eleven!"

His budget freeze didn't sound very impressive either since he was exempting defense and entitlements. Then there is interest on the debt that can't be frozen, and you've got the lion's share of the budget unfrozen anyhow.

To be fair, all candidates try to talk about cutting the budget while excluding almost all of it.

Do you have a link for how to check how your rep voted?

[link]

I think the average person is just saying, "fine, I won't borrow any money." Not realizing the importance of commercial paper and the short term loans that drive small and medium businesses and give them the wherewithal to you, you know, operate.

I didn't love the bill but I could see the pragmatism behind voting for it.

Now, I guess it's a matter of regrouping and seeing how bad things actually get before they try another resuscitation attempt.

I know that banks within the US are basically not lending money to each other, and it has been getting worse for months, not weeks on that count. Europe has been a source for money, but that is seizing up now as well.

From above, the whole "It's a Wonderful Life" syndrome is already happening: Wamu article: [link]

Wachovia blog posts: [link]

I know that banks within the US are basically not lending money to each other, and it has been getting worse for months

The inter-bank (or whatever they call it) interest rate actually went UP today.

The argument I was given was that the market needed to correct itself more. The big risk-takers needed some repercussions and a bailout would only encourage an environment of irresponsible lending/investing becuase it would all get covered in the end anyway.

Hmm. To my untrained ear that sounds like we are heading into a Depression/Recession/whatever we decide to call it no matter what. Of course, I also keep worrying about what happens when/if $700 billion brand new dollars flood the economy. Doesn't that make inflation go up? Nobody is mentioning inflation, but I keep worrying about it. But what do I know? Damn right now I wish I had studied economics instead of literature.