Do the Democrats believe in their plan to fix the economy?
Today's Star-Ledger headline screamed at me in huge type sprawled across the entire page -- House GOP torpedoes bailout. Bipartisan negotiations broke down last night after some conservative Republicans balked at the escalating cost of the bailout and offered an alternative plan that would expose the taxpayers to less risk. Rep. Barney Frank (D-MA), chairman of the House Financial Services Committee and House Speaker Nancy Pelosi (D-CA) loudly denounced the GOP for throwing a monkey wrench into their plans. Many Democrats assailed Senator John McCain for his lukewarm support of the bailout measure.

It's clear that the GOP rank and file is largely skeptical of the $700 Billion Wall Street bailout plan. On CNBC Congressman Paul Kanjorski (D-PA) said that his mail and calls on the bailout plan are running 50-50: 50% no and 50% hell no.

Meanwhile the Democrats are lining up behind Barack Obama. At the White House meeting called yesterday by President Bush both Speaker Pelosi and Senate Majority Leader Harry Reid (D-NV) immediately yielded their time to Senator Obama. He spoke on behalf of all the Democrats present. So, one could say that the plan he endorsed is his plan; one could say it is the plan the Democrats believe will succeed.

Except they don't want to stake their political lives on it. The GOP is a minority party in the Congress. There are more than enough Democratic votes in both houses to pass the bailout legislation. I don't understand how the GOP can "torpedo" the bailout. If the Democrats really want it to pass they don't need John McCain or the House Republicans. They have the votes. What they apparently don't have is confidence in their own plan. They want the GOP on board so they can have sufficient political cover if the bailout fails.

Senator Obama wants to be president. He wants to lead us. So, now is the time for him to lead. If he's so certain that pouring $700 Billion dollars into the subprime mortgage market is the right thing to do then he should stand up and get the bailout bill passed. No hiding behind "consensus" or "bipartisanship" or "deniability". Just lead.

Otherwise we have to conclude that he's not serious about his plan; that he believes there are significant problems with the bailout in its present form; that deep down the Democrats agree with the Republicans' objections; that maybe, just maybe, John McCain and the GOP might be right about letting the free market work.

So which is it? Do the Democrats have the courage of their convictions? Will they stand up for what amounts to a socialist takeover of the entire mortgage banking industry? Or will they equivocate and scurry for political cover in case things go badly? I think we know the answer to those questions. And that is why this morning they are still "negotiating" with the Republicans.

Posted at 10:31 by Chris   []   | | | Email | del.icio.us | Digg | Stumble It! | Reddit | Link