Nov. 23, 2008
Pelosi: No Auto Aid Without Accountability
Says Big Three Must Come Up With Austerity Plan Before Congress Will OK Any Bailout Package
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Pelosi: Give Us A Reason
Bob Schieffer spoke with Speaker of the House Nancy Pelosi about the future of the American auto industry and what the Big 3 need to do to stay afloat.
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Looking For Lasting Solutions
Bob Schieffer spoke with economist Austan Goolsbee about the current and future health of the economy and what President-elect Barack Obama's plans are for change.
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Commentary: The Cabinet
The growing list of names of the men and women who will serve in the Obama administration include rivals, friends and Washington insiders. Bob Schieffer discusses some of his choices.
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House Speaker Nancy Pelosi on Face The Nation. (CBS)
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In-Depth
Q&A: Big Three Bailout?
Why Detroit's automakers might get a rescue package
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L.A. Auto Show
Kick the tires on the newest sets of wheels.
"The U.S. tax payer is not willing, nor are the representatives in Congress going to vote for an infusion of cash in the companies, so that these CEOs can be amply rewarded for their lack of success," said Pelosi, D-Calif., on CBS' Face The Nation.
"Senator Reid and I sent a letter at the end of this week to the CEOs, to say these are the kinds of things we'd like to see in a plan; austerity, in terms of dividends and bonuses and compensation and the rest, for sure, on the one hand; and then, also, what are you doing to innovate? What are you doing to earn this money?
"For lack of success, you get amply rewarded? Something is wrong with this picture. But what we are saying to Detroit should be very good news to them, and that is, we want to be their partners to go forward. We have to subject everything to scrutiny."
Pelosi also spoke with host Bob Schieffer about the lack of confidence in the financial markets, which has led to a lack of confidence on Capitol Hill towards the Bush administration's handling of the $700 billion bailout package.
“We thought that this money was going to circulate credit, put credit out there so many more people could function in a business sense," Pelosi said. "And that doesn't seem to be happening. They tell us it will.
"We were very concerned about the fact that the legislation called very specifically for them to help with mortgage forbearance, to help people stay in their homes. They've done nothing on that score. They testified to that effect the next day in front of all of Congress, and I think they got the word that we want to see some results from this legislation.
"I think that Congress is going to demand some real accountability, I know they will, before we can proceed with other money," she said.
Also on the program, Austan Goolsbee, senior financial advisor for Barack Obama, said that the President-elect was going to come into office "with a bang" to get a handle on the economic crisis.
He cited Obama's picks for his key economic team, and his announcement yesterday of a plan to create 2.5 million jobs over the next two years, in infrastructure rebuilding, alternative energy and other investment areas.
But what about before January 20, 2009? "Some economists say we're in a pretty dangerous time here right now," said Schieffer.

"Maybe he and the president, George Bush, ought to come up with some sort of a joint thing that they might do between now and then, how does that strike you?" Schieffer asked.
"Well, it strikes me that we have repeatedly called on the administration to do things like a stimulus, but the president did not appear to be interested in doing that. So I don't know; in theory it could work, but Obama has a vision that he's going to carry out. And if the current administration wants to do that, we should do it, because the economy is really hurting."
But when it comes to Detroit's dire straits, Goolsbee said that, while "the thought of trying to liquidate the entire U.S. auto industry in the middle of this deep recession is quite harrowing, really, it's like the reverse of stimulus," he said a simple handout of $25 billion would not be appropriate.
"The government is not going to get in the business of giving companies an allowance," he told Schieffer. "That's totally improper and not what we need. If the government is going to serve as bridge financing, the way an ordinarily functioning credit market would, [companies] need to have a business plan.
"It seemed like it was the first they heard of it, 'What is your plan to restructure your companies?' They said, you know, 'We'll have to get back to you' - that was crazy.
"If they need a bridge, it's got to be a bridge to somewhere, not a bridge to nowhere."
Read the full "Face the Nation" transcript here.By CBSNews.com producer David Morgan.
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See all 306 CommentsDon''t bail out these basturds until they change their business model.
Posted by MikeTotten1 at 02:58 PM : Nov 23, 2008
Mike you and yours are what is responsible for this mess. You bought into the neo con vision of free enterprise without control so don''t and I repeat don''t go blaming the Democrats or true Republicans this mess is the fault of your one party victory at all cost neo nazi cons period.
I agree with Nancy and Harry in fact I wrote my congress reps and already received a response from two of them that they would not support this bailout without controls period. But of the third well he is a neo con and hasn''t responded yet. Want to bet it is Bush neo con line.
Of course he is in a battle ground state and up for re-election in 2 years looks like the Democrats will be getting their extra seat in two maybe even the super majority. But neo cons you go ahead and keep believing that your retoric is working on the masses right up until the Republicans become the new wigs and fade into a memory.
The men who have done this have earned rides on corporate jets.
http://ewebsmith.com/gov/autobailout.html
There''s no nice way to say this.
If someone, some aide, told Nancy Pelosi that stripping and jumping off the Golden Gate Bridge would increase her popularity, do any of us doubt she''d do it?
People like her--on both sides of the aisle--are the problem.
Callous, smiling faces, well versed, articulate... but ultimately dumber than rocks---always with a finger to the wind.
OK. Fine. The Dems had better get it right because this is a set up for a Republican feast in four more years.
M
How did this idiot get to this high place of judgement? This is not her money. The people who pay taxes know that money given to ins. and finance companies does nothing. Only goods manufactured that have large value added margins create money in the economy..not hand outs...she has it backwards, totally backwards, but what is really hard to believe is all her democratic whimpies in congress, back her up on this.
If you doubt what I am saying here, ask her one question: How much of the msrp of an average GM car is made up of state, local, sales and use, and federal income tax? She has no idea..and don''t even ask her to calculate how many dollars of all the components of the car are made up of taxes...on suppliers from all over the US....it amounts to thousands of dollars of tax per car that she is willing to give up for the sake of punishing republican car makers. Resign Pelosi. Your idiotic understanding of things is so badly distorted you are dangerous as a public servant...your brain is simply too small to comprehend this..
ssj.
Yeah, I hope they do as good of job as Bush has in the last 8 years. Oh, I forgot, Palin''s gonna bring the Republicans around.
"live simply so others can simply live"
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Posted by MikeTotten1
I thought socialism was off the table for discussion...every tme anyone mentioned it during the campaign they were shot down...interesting it''s out of the closet now.
Posted by onarollagain at 04:13 PM : Nov 23, 2008
Are you GOD????? hhhhmmmmmmmm must be...
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Posted by onarollagain at 04:26 PM : Nov 23, 2008
Its impossible for government bailouts or other support to be fair. Its like asking the fox to be fair while he raids the hen house.
If we continue with this bailout and government support mentality Nancy Pelosi and her friends will be telling us all how to do our jobs. She is such a good role model.
Ha anyone asked Nancy how she got to Detroit to talk with the automakers last month and who paid for the trip? What did she get done?
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Posted by onarollagain at 04:50 PM : Nov 23, 2008
Not for long. The history books are being re=written to remove the parts that are not politically correct and to make sure we know what a demon society America has been. Sad, we have lost our greatness and even choose to bicker on the way down.
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Posted by onarollagain at 04:54 PM : Nov 23, 2008
On a side note: Have you wondered what she told them while she was there? They must have certainly talked about some kind of bailout. Did she tell them it was goign to be easy? I can find no other reason for otherwise adult men to come to Washington so ill prepared. I know at least one of them and he isnt stupid. Greedy, maybe, but not stupid.
She should be censored.
Perhaps it%u2019s because the financial markets are starting to look at the true picture of American consumer debt. Just Google "average American debt", "consumer debt", etc., to read up on plenty of stories of spiraling consumer debt in America, you don%u2019t have to be that smart, just smarter than a politician, to start to see the big picture.
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Posted by onarollagain at 05:01 PM : Nov 23, 2008
I dont have insider information but I can put two and two together like anyone else. She obviously went there to be "the government representative" on the bailout and take credit for it. Ill bet she thought it was going to be a slam dunk and didnt prepare them at all. then, when it turned sour she is able to talk like she does in this article. Crazy, she should have said these things while she was there and it was just them.
There is absolutely nothing that these Demopublican Fascists can do to prevent the economy from collapsing.
Looks like you are the "black" man now.
How does it feel?
How will you spend your bailout?
What? You did not get one?
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Posted by MikeTotten1 at 04:59 PM : Nov 23, 2008
Mike,
I think you miss the point. No one wants to be unfair. We just dont want to lead people into things that dont work. The government rules for mortgage lending did not work and its a matter of record if you search for them. They ended up hurting the very people we were trying to help.
As for being the black man now, your comment is off base. Our country just elected one and it took a majority of us.
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Posted by dkhorse1 at 05:01 PM : Nov 23, 2008
Americas economy runs on a mixture of government loans, corporate investors and foreign investors. When the financial crisis began those foreign investors began removing their money. They dont trust us or our government policies. So our country must now run entirely on its own money and Im not sure we can do it.
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Posted by ObamBaboon at 05:16 PM : Nov 23, 2008
I still have HOPES that Obama is smarter than this. I didnt vote for him but its obvious he is smart. Just hope his tax and spend philosophies dont overwhelm his intellect. Gyrations like we have seen this last month make it clear he isnt goign to get help from congress. remember, the American people rate it as the lowest performing congress EVER.
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Posted by onarollagain at 05:20 PM : Nov 23, 2008
I have a similar story (except for the cow dung). Our parents tell the same story. I grew up poor but worked hard and am proud of my accomplishments. but our great society has robbed many of our citizens of this kind of pride. the result is bickering over scraps instead of growing a bigger supply. I hope it stops soon.
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Posted by onarollagain at 05:20 PM : Nov 23, 2008
I have a similar story (except for the cow dung). Our parents tell the same story. I grew up poor but worked hard and am proud of my accomplishments. but our great society has robbed many of our citizens of this kind of pride. the result is bickering over scraps instead of growing a bigger supply. I hope it stops soon.
Wagoner, Mulally and Nardelli will have to do better that simply shrug their shoulders and look nervously at each other when they are asked,
"What''s your plan?"
Wagoner, Mulally and Nardelli will have to do better that simply shrug their shoulders and look nervously at each other when they are asked,
"What''s your plan?"
There is nothing politically correct or incorrect about denying a resource to someone based on the color of their skin. It is simply unfair and inhuman.
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Posted by MikeTotten1 at 05:24 PM : Nov 23, 2008
Mike,
You are missing my points entirely. I have no annimosity toward the black man, none. I marched to help gain equality. I stood up for equality at work. And I will stand up for your equality even now.
But equality isnt favoritism. It doesnt help if we give ANYONE a loan they cant repay. That is what those laws did. Members of my white family were also bamboozled by those laws. It aint blacks against whites anymore. Certainly not here. So dont turn political correctness into race predjudice. It divides us at a time we cant stand it.
There is nothing politically correct or incorrect about denying a resource to someone based on the color of their skin. It is simply unfair and inhuman.
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Posted by MikeTotten1 at 05:24 PM : Nov 23, 2008
Sorry, my last answer was incomplete.
The problem with those rules was that they required banks to make a certain number of "sub prime" loans (skin color didnt matter). At first it was hard to do because people who couldnt afford the loans were smart enough to not get them. But, the law is the law so the banks sweetened the deals and found ways to talk people into them. Things like: "get this ARM loan now and you can refinance in two years for a better deal". House prices went up as interest rates APPEARED to go down. People bought houses the could never afford.
these were bad laws with good intentions. Unfortunately, most politicians lack the understanding to deal with such complexities.
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Posted by Henius at 05:39 PM : Nov 23, 2008
You are absolutely right.
But how smart are we? We ask them to help us every time. And they mess it up so we ask them to help us again.
After it took a 100 years to build the auto-industry we now face the real prospect of losing it. Why?
Because the British have always used ''divide and conquer'' arguments between Republicans and Democrats to deflect blame for the source of the problem....
The private Federal Reserve System has to be SHUT-DOWN immediately...before it''s too. late!!!!!
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Posted by MikeTotten1 at 05:44 PM : Nov 23, 2008
"Political Correctness" may not be the precise term but it does fit the situation better than "greed".
The government wasnt greedy about it, they passed a law that said "give loans to people who might not be able to pay them back and dont ask embarrassing quesitons." (Many of us see that as politicians doing something "politically correct".)
The banks werent greedy about it, they were folowing the laws. But it did turn out better than they thought so they didnt fight back. Besides, Fannie Mae and AIG were there to protect them.
Some of the people who got loans they couldnt afford were greedy (I know one) but most werent, they thought it was what "everyone was doing".
No, this all started because politicians wanted to do the "Politically correct" thing and give loans without examining the ramifications.
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Posted by MikeTotten1 at 05:50 PM : Nov 23, 2008
Laughing here.
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I''m just at a loss for words. I remember Pelosi and Frank standing there trying to look like Rice and Powell at the start of the Iraq war. They acted like they were in charge.
Now she says THIS????
This is just like Greenspan''s "I didn''t understand how the world works" speech.
I thought they were supposed to know what they were doing...
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Posted by txgrouch2007 at 06:00 PM : Nov 23, 2008
Not very likely. they are politicians of the first order. Dont ask, dont think.
The American people are both smart and stupid. Smart enough to give these guys the lowest rating of any congress ever. But stupid enough to expect them to do somethign to help.
Not very likely.
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