Sep 17, 2008 10:44 pm US/Central
Reality Check: Bad Economy And The Candidates
(WCCO)
The government's latest bailout of a big company is clearly shaking confidence in the economy. Each presidential candidate says he's the man to fix our money problems. But both of them worked in Washington, D.C. when the market troubles started bubbling up.
It's easy for politicians to blame each other for what's happening to you. But that's not helping millions of Americans frightened about losing their retirement money or their homes.
HOLD ON.
Both political parties share the blame. Starting in 1999, sweeping new laws supported by Republicans and signed into law by Democratic President Bill Clinton.
It removed the safety firewall between regulated banks and unregulated investment firms, and less oversight.
IN FACT...
Since then, investments took off and profits exploded, as well as corporate scandals, bankruptcies and mortgage failures. And it's fair to ask who do you trust to fix it?
The REALITY is both candidates are vague.
Until now, Republican candidate Sen. John McCain was a long time supporter of deregulation. Democratic candidate Sen. Barack Obama supports more regulation and protections for homeowners.
Both candidates would appoint an advisory group to keep the president up to speed on Wall Street.
It's WORTH NOTING.
Both candidates are also swimming in Wall Street cash. Obama has $9.7 million in donations from investments and securities companies while McCain has $6.9 million.
Here is what you NEED TO KNOW.
So far this year, the federal government has put up $905 billion -- nearly one trillion -- to bail out insurance companies, investment banks, and mortgage firms. And the way it's going, it's not over yet.
That's Reality Check.
To check the resources for this Reality Check click on the links below:
Clinton Signs Banking Overhaul Measure
Wikipedia: Corporate Scandal
John McCain: Jobs For America
Barack Obama's Economic Agenda (PDF)
Open Secrets: Obama Fundraising Top Industries
Open Secrets: McCain Fundraising Top Industries
Reuters: Government Bailout Tally Tops $900 Billion
LA Times: Is The U.S. Going Overboard On Bailouts?
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