Bail-out leads to conflict of interest claims as
Wall Street Financiers Cash in on Crisis
By Tim Shipman
New questions have been raised about the $700 billion economic bail-out of the US economy as President George W. Bush warned that the world may have to wait weeks for the benefits of the rescue package to be felt. Continue
The Epoch of Imperialism
Did Vladimir Lenin Predict The Banking Disaster Of 2008?
By V. I. Lenin
The epoch of imperialism opens when the expansion of colonialism has covered the globe and no new colonies can be acquired by the great powers except by taking them from each other, and the concentration of capital has grown to a point where finance capital becomes dominant over industrial capital. Lenin enumerated the following five features characteristic of the epoch of imperialism: Continue
Food Stamp Participation Increases As Economy Slows: Almost a million more people participated in the federal government's food stamp program for the needy between April and July, according to the U.S. Department of Agriculture, which oversees the program.
Europe calls for global summit on bank crisis: Gordon Brown and other European Union leaders called last night for a global economic summit to 'rebuild the world's financial system'
Former IMF economist warns of global recession: Simon Johnson, the former chief economist of the International Monetary Fund, warned of a global recession as a result of the devastating financial crisis that has struck the United States and Europe.
The party's over for Iceland: Iceland is on the brink of collapse. Inflation and interest rates are raging upwards. The krona, Iceland's currency, is in freefall and is rated just above those of Zimbabwe and Turkmenistan
The new masters of the universe?: Chinese growth still at 8 or 9% - US consumer is 'toast, done, finished'
AIG draws down $61 billion of its Fed loan: The emergency loan was supposed to buy the company time to sell its assets in an orderly way. But the sell-off has not yet begun, and now the insurer faces the added pressure of trying to sell the businesses as potential buyers are having trouble borrowing money.
Officials Refuse to Provide Details on Secret Previous Bailout: Top government officials are refusing to provide details on a secretive deal it made to manage billions in assets from an earlier bailout.
Banks are hoarding cash, raising borrowing costs and slowing economies : Americans' lack of financial sophistication is a cause, not just a symptom, of the credit crunch, said James Bowers, managing director of the Center for Economic and Entrepreneurial Literacy, a nonprofit group in Washington.
Smoke, mirrors ... and how a handful of missed mortgage payments started the global financial crisis: How did a few dodgy sub-prime mortgages in American inner cities lead to what is beginning to look like the collapse of capitalism?
The Problem Is Still Falling House Prices: Because of the 20% fall in the price of homes since the bursting of the house-price bubble, there are now some 10 million homes with mortgages that exceed the value of the house.
Foreclosures: Did God Want You to Get That Mortgage?: Has the so-called Prosperity gospel turned its followers into some of the most willing participants — and hence, victims — of the current financial crisis? That's what a scholar of the fast-growing brand of Pentecostal Christianity believes.
Bailing Out Wall Street by Selling out Main Street
By Cindy Sheehan
Tent cities are arising all over the country and Congress is going to bailout an industry that caused these cities and not only that, but use our money to help keep the CEO's in the style to which they have become accustomed. Continue
Bail Out the Homeowners!
Why Paulson's Plan is a Fraud
By Paul Craig Roberts
The bailout is focused on the wrong end of the problem. The bailout should be focused on the origin of the problem, the defaulting homeowners. The bailout should indemnify defaulting homeowners and pay off the delinquent mortgages. Continue
Get Your Dollars Out Now! FAST!!!
By Adrian Salbuchi
As Argentine citizens, we have a huge advantage over other peoples including US citizens when it comes to understanding and coping with this kind of crisis. I say this because in our own lifetimes we have suffered in Argentina all of what is now happening globally - albeit on a much smaller scale in our case. We've seen this movie... We've been there, and done that... Continue
A Little Problem With Capitalism
We have short memories
By Thomas Walkom
What's happening now on Wall Street is seen as a new story. It is not. It is a very old one. Karl Marx wrote about it; so did John Maynard Keynes. More recently, tycoon George Soros has pronounced on it, as has the redoubtable Economist, a decidedly pro-free market financial magazine. Continue
n case you missed it: McCain Rejects Broad U.S. Aid on Mortgages: Drawing a sharp distinction between himself and the two Democratic presidential candidates, Senator John McCain of Arizona warned Tuesday against vigorous government action to solve the deepening mortgage crisis and the market turmoil it has caused, saying that “it is not the duty of government to bail out and reward those who act irresponsibly, whether they are big banks or small borrowers.”
President Bush signs historic $700 billion plan aimed at stemming credit crisis.: After two weeks of contentious and often emotional debate, the federal government's far-reaching and historic plan to bail out the nation's financial system was signed into law by President Bush on Friday afternoon.
U.S. Stocks Drop as Recession Concern Outweighs Bailout Passage: - U.S. stocks slid, capping the worst week for the Standard & Poor's 500 Index since the 2001 terrorist attacks, on concern the $700 billion bank bailout isn't enough to unlock credit markets and prevent a recession.
Hidden unemployment rises to 11%, highest in 14 years: Payrolls sink 159,000, worst job loss in 5 years
Report blames U.S. trade gap for 5.6 million lost jobs: The U.S. trade deficit in goods other than oil cost American workers 5.6 million jobs last year, with Michigan and South Carolina leading the list of hardest-hit states, a report issued on Thursday said.
U.S. factory orders drop by biggest amount in nearly two years: New orders for manufactured goods to America's factories plunged by 4 percent in August, the biggest amount since October 2006, the Commerce Department reported Thursday.
California gov says may seek US Treasury financing: California Gov. Arnold Schwarzenegger has informed U.S. Treasury Secretary Henry Paulson that the most populous U.S. state may need to turn to the federal government for short-term financing because of a lack of liquidity in credit markets.
Financial companies borrow record amount from Fed: The Fed's report released Thursday said commercial banks averaged a record $44.5 billion in daily borrowing over the past week. That compared with a daily average of $39.36 billion in the previous week. On Wednesday alone, banks borrowed a record $49.5 billion, surpassing the previous high that came one day after the Sept. 11, 2001, terror attacks.