What are we to think of the Big Three automakers plea to Congress (and each of us) for a $25 billion bailout, euphemistically known as a bridge loan or rescue package?
During the disastrous trip to Washington by the auto companies' three CEOs (stupidly arriving on private luxury jets), the three men were unable to say exactly how much they need and how it would be spent, provide assurance they wouldn't be back in a few months demanding more money and, finally, explain why Americans won't buy their products.
You don't give your last tourniquet to a dead man, said one lawmaker. What is at the end of the bridge, another demanded. Why are Toyota's U.S. operations able to sell its cars, and you can't sell yours, another congressman asked.Read More
Sen. Ted Stevens' election defeat marks the end of an era in which he held a commanding place in Alaska politics while wielding power on some of the most influential committees in Congress.
It also moves Senate Democrats within two seats of a filibuster-proof 60-vote majority and gives President-elect Barack Obama a stronger hand when he assumes office on Jan. 20.
On the day the longest-serving Republican in Senate history turned 85, he was ousted by Alaska voters troubled by his conviction on federal felony charges and eager for a new direction in Washington, where Stevens served since Lyndon B. Johnson was president.
Barack Obama perhaps didn't directly intervene to save Joe Lieberman's chairmanship but it certainly didn't hurt when the President-elect said he would be "happy" to have the Connecticut senator and party apostate continue to caucus with the Democrats.
Democrats were furious when Lieberman showed up at the Republican convention to endorse John McCain and even more furious when he said dismissively of Obama that he was "an eloquent young man" but unprepared to be president. He then actively campaigned with McCain.Read More
Senate Democrats took the first step toward bailing out the nation's crippled auto industry on Monday by proposing a $25 billion loan program, a plan that faces stiff political headwinds with millions of jobs potentially riding on the outcome.
With the year's congressional calendar down to a few days, lawmakers and the Bush administration sparred over the best way to extend help to General Motors Corp, Ford Motor Co and Chrysler LLC.Read More
The bitter general election campaign behind them, President-elect Barack Obama and Sen. John McCain are seeking common ground on a range of issues in hopes of engendering greater bipartisan cooperation in Washington.
The erstwhile rivals met for 40 minutes at Obama's transition headquarters Monday to discuss possible collaboration on climate change, immigration, Guantanamo Bay and more.
It was their first meeting since Nov. 4, when Obama vanquished McCain in an electoral landslide. Last Thursday, Obama reached out to another former competitor, Sen. Hillary Rodham Clinton, whom he is considering as a possible secretary of state.
The federal budget deficit has taken an alarming turn for the worse.
In October, the first month of the federal fiscal year, the government ran a record deficit of $237.2 billion, close to the deficit the government ran for the entire year of 2006.
The deficit for this year could run over $1 trillion, dwarfing the record deficit of $454.8 billion we set in the fiscal year just ended. The accumulated budget deficits make up the national debt, which now stands at over $10.6 trillion.
The debt is more than an economic abstraction; it has practical political implications. Congress must appropriate the money to pay the interest on that debt each year, and that rapidly growing interest payment competes with other government programs.Read More
Expect plenty of fireworks when the U.S. Congress meets this week for a post-election session focused largely on the ailing U.S. economy.
With Barack Obama preparing to become the 44th U.S. president on January 20, lawmakers will take another crack at providing fiscal relief to Americans and the U.S. auto industry, and elect leaders for the new Congress set to convene on January 6 with Obama's Democrats in stronger control.
Lawmakers also will move to expel Republican Ted Stevens from the Senate if a protracted ballot count shows that Alaska voters returned the 84-year-old senator to Washington after his conviction for corruption last month.Read More
President-elect Barack Obama on Saturday urged Congress to get moving next week on an economic rescue plan that would extend jobless benefits among other actions.
"If Congress does not pass an immediate plan that gives the economy the boost it needs, I will make it my first order of business as president," Obama said in his Democratic Party's weekly radio address.
The radio address was also videotaped and being posted online through a YouTube link to Obama's transition Web site, http://www.change.gov. The president-elect plans to continue to record online videos of the addresses after he takes the oath of office Jan. 20.
Senior politicians, former ambassadors, top business leaders and lawyers will lead special teams into US government agencies to prepare the ground for Barack Obama's presidency, his office said.
An army of specialists -- including senior members of former president Bill Clinton's administration -- is set to fan out across in the Treasury, State Department and Pentagon.
Even the White House will be scrutinized as the 450-strong transition team goes through more than 100 departments and agencies.
The $700 billion bailout was rushed through Congress as a way of pumping liquidity into the financial system by letting the Treasury buy up so-called toxic assets, the most troubled loans on lenders' books.
Well, that's not what the Troubled Asset Relief Program is any more. Not too long after it passed, Treasury decided that it could put money into the system more effectively by purchasing bank stock directly.