Wall Street Bail Out Bill of 2008 Fails: A Victory for Freedom...and the Stock Market Too

Put that in your pipe and smoke it, you Wall St. slicksters, fraudsters, and thieves! Feel some pain with the "commoners".

Is it possible common sense prevails? I own a small real estate company and I say let this work itself out rather than prolong the pain for most of us while the folks at the top ( boards and CEO's like fishman) get fatter. Let the ethical ones prevail and the fat cats fail.

Cody, Quick note - you have quickly become my favorite financial blogger on Fox News and I truly appreciate your candor and insight. I wish more of the media were truthful with the public in their 'analysis' of the issues. Sometimes the truth is a bitter pill to swallow.. I am totally in agreement with you - I was happily shocked that it did not pass..but I am certain that another form of it will be introduced in the next few days. The photo-opp is just too great for that 'savior' of a senator to introduce new legislation that nationalizes the market and "save us all from ourselves", and place it in the control of a bunch of non-accountable legislators. Look for new a new bill to be introduced shortly - and with the market in a fall the tide will turn in support of it as the mass public will begin to panic and believe that some legislator understands a free market - sadly, some form of this bill will pass. John

I think you need to review your US History. The "let the market work itself out" was the very attitude held by Herbert Hoover in 1929 it used to be called Lassiere Faire Economics. It's easy to talk about "busts" as a natural cycle if you're not the guy losing his house/job. I don't think it's "healthy" to have to endure another great depression.

I've said this same thing about the airlines, and other businesses that are not able to adjust to current market needs due to their inability to adjust their costs and their product to match what consumers need. If the business can not adjust them let it crash so something else can be created to fill that gap. The fact is that we're too quick to save the markets and keep dinosaurs alive that really should be put out of their misery (and ours) to make room for new markets and new businesses that can better provide for the needs of the consumers. What are the two major factors standing in the way of this progress? The Unions and ... of course... the government as it does what it does best ... screw things up.

This is great news!!! I too am relieved.

I've mixed feelings on this. Didn't like the nature of the bailout. But, thought it was probably needed. The uncertainty that exists in the financial sector is troubling and has the potential to destabilize even further the markets, credit, banks, etc. On the other hand, let the free market be free and work the way it is meant too. There are lessons to be learned, and more on the way. We, as a society, better start learning.

I couldn’t agree more. Everyone wants to rail on Capitalism as if its a bad thing but the fact of the matter is more peace and prosperity has come from capitalism than any other system going back 5000 years. I kid you not my faith in the GOP just got restored. And to the 90 some odd democrats and 130 some odd republicans that voted NO on this GOD BLESS YOU!

Finally, a voice of reason! As you say Cody, the market has it's cycles, which smart businesspersons understand, and that cycle has to be let to run it's course. Medling with it at this stage, especially with this type of public buyout, on this kind of scale, would likely criple our entire freemarket system for a long time to come.

Right on brother. I wrote my sentors the same thing you just wrote about. Glad to see the bill fail. Red in Georgia.

The Bill Faills and Democracy and Capitalism live, I can live with that.

You got it right Cody. I think Congress was hearing nothing but howling from the man-in-the-street constituents and they voted for "the people" on this one. Let the stock market burn until it burns out. Banks and corporations holding mortgage backed securities need to figure out what they own and get on with business. The ones that can't or won't can burn as well. This "crisis" has been totally blown out of proportion to reality for reasons that are not obvious. Let the markets work this out. We'll all be a lot better off in the long run.

You and Rick Edleman have been the voices of reason in this entire debate. I can't believe that Congress may have actually listen to the will of the people. The only people in favor are the Wall Street insider talking heads, Hank Paulson (another Wall Street insider), and the policitians looking to cover their kiesters. Keep up the fight.

thank god, some people had the common sense to stop this catastrophe(bailout) from happening. the markets shoulkd take their drubbing, write off their mistakes and go forward. you have the democrats to thank for this FU. namely barney frank and christopher dodd. go back to clinton's administation and look at the legislation regarding banks "having to lend to people who did'nt have a pot to piss in".

I bet warren Buffett is pissed, well for now. I love it.

Thank you, Democrat House Leadership, for not being able to pass this bail-out plan, though, "you" have a voting majority. Special thank you to the House members who voted "NO", keep up the "GOOD WORK"! Capitalism still lives, Wall Street didn't collapse (no 1929) after the "NO" vote, and the sun is still shining, in my part of Texas.

Cody, I couldn't agree more, in the immortal words of Rev Wright, "the chickens have come home to roost". I am happy that this thing got stopped and now lets let the market determine what happens next. It could be ugly for a while but in the long run everyone will be better off with the appropriate value for homes and otherwise. America, wake up, if you can't afford it, don't buy it!

Yes, this is a great victory, however I'm afraid it will be short-lived. I have absolutely no faith in our politicians or government. Socialism is just delayed. Welcome to the new USSA - United Socialist States of America. God Bless Cody! Kim in Minnesota

Amen

Agree 100% There is trouble in the market now, but the free market is still working (not the rececnt buyouts of WAMU and Wachovia). This bailout bill was anti-American and unconstitutional and would have continued to foster the same moral hazards as the Community Reinvestment Act of 1976 did to bring us to this point. Capitalism works if you let it. There will be pain, but it serves our best interests in that is offers a natural cleansing of the market and in the end produces a much stronger economy.

And I foolishly thought this crisis had to do with credit and a crisis of liquidity, an area that our esteemed commentator does not deign to discuss. Could we perhaps trouble you for a few words on that issue?

Amen! I could not agree more. Capitolism works! Socialism doesn't !

I am going to use the typical, simple-minded response that many Americans surely agree with. I and my wife teach school in MS. We have a mortgage that is a bit large for our income. We have some smaller payments as well. We have three boys- one that just began college and the others in Elem. and Middle School. We give to the Church we attend and regularly give to other charitable organizations. We pay our bills in a timely fashion because we have tightened our belt, made some sacrifices, and worked a little extra to get ahead. No one is going to bail us out- no one rewards us for paying bills on time. Looks like our reward will be to pay higher taxes, lose some of our retirement, higher interest rates, higher costs of living even though we have done nothing wrong. All of this to help bail out the so called "Economic Experts!" that got themselves into this mess on their own. It is not failed policies of government, but failed common sense that has got these folks into this mess. VOTE NO ON THE BAILOUT!!!!! then go watch the Andy Griffith episode where the spoiled rich kid comes to town and learns a lesson in reponsibility!

Ain't over yet. There will be a bailout no matter what. There are too many people with too much money and political investment in it to not have a bailout.

I bet Warren Buffett is pi$$ed, well for now anyway