Bailout Failure Fallout

By: Vaughn Ververs
Topics: The Economy

As the fallout begins to flood through the halls of Congress in the wake of the defeat of the bailout compromise in the House, CBS News' chief political consultant Marc Ambinder looks at what it might mean to John McCain. The Republican candidate suspended his campaign momentarily last week to return to Washington to work on the crisis. His chief strategist, Steve Schmidt, yesterday touted the results. "What Senator McCain was able to do was to help bring all of the parties to the table," Schmidt told NBC News, "including the House Republicans, whose votes were needed to pass this."

Now that the bill has been defeated with larger-than-expected GOP defections, Ambinder asks: "If McCain wanted credit for passage, should he share some of the blame for its defeat? Two thirds of half Republicans voted for its defeat...after a weekend of telephone call diplomacy from McCain."

The McCain campaign has released a statement on the vote:

"From the minute John McCain suspended his campaign and arrived in Washington to address this crisis, he was attacked by the Democratic leadership: Senators Obama and Reid, Speaker Pelosi and others. Their partisan attacks were an effort to gain political advantage during a national economic crisis. By doing so, they put at risk the homes, livelihoods and savings of millions of American families. Barack Obama failed to lead, phoned it in, attacked John McCain, and refused to even say if he supported the final bill. Just before the vote, when the outcome was still in doubt, Speaker Pelosi gave a strongly worded partisan speech and poisoned the outcome. This bill failed because Barack Obama and the Democrats put politics ahead of country."

Update: Obama spokesperson Bill Burton reacts to the vote in a statement:

"This is a moment of national crisis, and today's inaction in Congress as well as the angry and hyper-partisan statement released by the McCain campaign are exactly why the American people are disgusted with Washington. Now is the time for Democrats and Republicans to join together and act in a way that prevents an economic catastrophe. Every American should be outraged that an era of greed and irresponsibility on Wall Street and Washington has led us to this point, but now that we are here, the stability of our entire economy depends on us taking immediate action to ease this crisis."

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by hapklein September 30, 2008 6:24 PM EDT: Yesterday I was watching the vote and its reaction on Wall Street and happened to catch John McCain at his very worst. Have his handlers taken leave of all their senses?

Periodically the various talking heads mentioned that Mc Cain apparently lost face through his premature announcements especially taking credit in Ohio for a bill that actually had not passed. Then they began to announce Mc Cain was going to make an important announcement. I was switching channels and really didn%u2019t track time and I kept seeing people coming and going from behind a tall blue curtain. Then who steps out from behind is the man behind the cutain himself John Mc Cain who proceeded to say nothing of any consequence.

From now to election day I hope they keep using this prop maybe they can help him overcome the somewhat feeble and detached look he has taken on in the past week.

Who knows with an American public shouting fact free opinion to influence their representatives maybe they would rather elect a man behind the curtain rather than a capable human being.; Reply to this comment


by shespar-2009 September 30, 2008 1:27 PM EDT: Lets take a recent bit of history
.. WaMu ...

Even though "TPG, a Texas-based private equity group led a $7.2 billion investment in Washington Mutual Inc. in April 2008. They failed miserably by Sept. 2008. If we throw money at these failing institutions it will only take longer, it will not halt their demise.; Reply to this comment


by georgeost-2009 September 30, 2008 4:12 AM EDT: "Angry and hyper-partisan statement released by the McCain campaign" What?? So Pelosi''s diatribe today right before the vote wasn''t hyper-partisan??? People: See through this bias! McCain sought reform for Fannie and Freddie three years ago, and Bush before that! But the Democrats such as Obama have been profiting too much to let it go. So lies were made that Fannie and Freddie were ok. Now we know different! Obama, imo, is a corrupt politician. Read between the lines; read the non-mainstream media, and think for yourselves!; Reply to this comment


by fpickern September 30, 2008 4:01 AM EDT: What a shame , that all Americans listen to this new Liar McCain. What a fraud !! What is even funnier, McCain, never even was there , he was at the White House, sitting on his ***, while the vote was taking place , and then he goes back to Ohio , Likehe is some kind of hero !! What a *** hypicit!!! The Republican party , the Crew of Liars , thiefs, hypicrits, and the worse of all , the murderious WAR MACHINE, of 5000 good American Men and Women!!! EXCELLANT JOB GEORGE W. BUSH!! When its your turn go Bush, plese be buried in IRAQ, you seem to love these People more than you do AMERICA , you lousey Traitor!!!!!!!!!!!!!!!; Reply to this comment


by fpickern September 30, 2008 3:49 AM EDT: whats the Difference between George W. Bush and Karl Marx????

95 years!!!!Socialism to the Bone!!!!! I believe in Western Justice also , Hang the Lying *** !!; Reply to this comment


by greenfun September 30, 2008 3:43 AM EDT: The original video they are trying to ban. It had over 800,000 in just a few days.
http://www.youtube.com/watch?v=NU6fuFrdCJY; Reply to this comment


by fpickern September 30, 2008 3:43 AM EDT: It''s socialism, especially , when the ones whom are at fault is the Leadership of Wallstreet, Corporate CEO''S and their failure of leadership and company losses of profits, and get paid mega millions for "simply failig at their postions of leadership! Whats worse is every Congressman , and I mean the RepublicanParty , should have their seats impeached, and their constituencies should be screaming for Blood!!! This sorry piece of human *** in Washington we call President should be impeached immediately!!!This country is in this sorry shape , and know one to blame but the Republican Party , and their constant lax of taxes on Corporates, and to bail Wall street out of hock , is a F--KING crime!!!!! Funny , the rich protects the rich , and the poor gets to front the Bill!! Like I said it''s Socalism to the BONE. George W. Bush , you can go to hell!!!!!!!!!!!; Reply to this comment


by fpickern September 30, 2008 3:43 AM EDT: It''s socialism, especially , when the ones whom are at fault is the Leadership of Wallstreet, Corporate CEO''S and their failure of leadership and company losses of profits, and get paid mega millions for "simply failig at their postions of leadership! Whats worse is every Congressman , and I mean the RepublicanParty , should have their seats impeached, and their constituencies should be screaming for Blood!!! This sorry piece of human *** in Washington we call President should be impeached immediately!!!This country is in this sorry shape , and know one to blame but the Republican Party , and their constant lax of taxes on Corporates, and to bail Wall street out of hock , is a F--KING crime!!!!! Funny , the rich protects the rich , and the poor gets to front the Bill!! Like I said it''s Socalism to the BONE. George W. Bush , you can go to hell!!!!!!!!!!!; Reply to this comment


by vanron100 September 30, 2008 2:55 AM EDT: This ''bailout'' is America''s new crazy brand of ''Socialism''...without any of the benefits!

Nationalization of AIG, makes the US government owner of the world''s largest insurance company with $5.5 trillion in liabilities.
Nationalization of the finance industry, increases the debt to American citizens to $14.8 trillion.

And all the ''players'' both past and present will continuing to reap $$$ rewards!
The other 95% will continue to lose pensions, 401k, insurance benefits, security benefits, health benefits, paychecks and homes.
No wonder citizens hate their government so much... 18% approval rating and ''crashing''.

This ''bailout'' cannot go forward in it''s present form.; Reply to this comment


by themimi1 September 30, 2008 2:06 AM EDT: And it''s real easy for a guy who owns 7 houses to tell us peopns out here WE need to come up with the cash! I don''t have any to give!I''m doing all I can just to stay afloat as it is! If it isn''t on sale, I can''t buy it! And the bigger the markdown the better, So if they have to take less on those loans, they need to do it! If they have to take 20 cents on the dollar, fine!; Reply to this comment