February 17, 2009
— Gabriel Malor Secretary Geithner and the President set an artificial deadline for developing a plan to deal with toxic assets dragging down the financial sector. Then after pondering the problem for months, Geithner made a radical last minute change in the proposal. Rather than setting a new deadline to go public, since his new plan was undeveloped, he went ahead and held that press conference sans details.
According to several sources involved in the deliberations, Geithner had come to the conclusion that the strategies he and his team had spent weeks working on were too expensive, too complex and too risky for taxpayers. [...]The sharp course change was one of the key reasons why Geithner's plan -- his first major policy initiative as Treasury secretary -- landed with such a thud last Tuesday. Lawmakers, investors and analysts expressed dismay over the lack of specifics. Markets tanked, and fresh doubts arose about the hand now steering the country's financial policy. [...]
Meanwhile, the sources said, Obama's senior economic advisers were hobbled in crafting the plan by a shortage of personnel. To date, the president has not nominated any assistant secretaries or undersecretaries at the Treasury, and the handful of mid-level staffers who have started work were still finding their offices and getting their building passes and BlackBerrys.
Yes, we know how dependent the Obamatons are on their BlackBerries. So they spent weeks working on a plan without determining its feasibility and without consulting with the industry. The Secretary had a last-minute crisis of confidence and then...what? Too proud to tell the President he needs more time to develop a rescue plan? Too wedded to his artificial deadline? These decisions have real-world consequences now.
I can see why Geithner was the only man for the job. /sarc
Posted by: Gabriel Malor at
06:27 AM
| Comments (55)
Post contains 304 words, total size 2 kb.
Posted by: Mbruce at February 17, 2009 06:31 AM (t/GDA)
Posted by: Mbruce at February 17, 2009 06:31 AM (t/GDA)
Posted by: ECM at February 17, 2009 06:33 AM (q3V+C)
Posted by: ECM at February 17, 2009 06:33 AM (q3V+C)
Posted by: Snoop-Diggity-DANG-Dawg at February 17, 2009 06:33 AM (WGcw3)
Timmy has fallen down the well... and taken the markets with him. Lassie is riding around on Air Force One with teh Chickenlittle-in-Chief spreading the gospel of FUD across the land.
What. A. Team.
Posted by: sherlock at February 17, 2009 06:33 AM (jdXw+)
Posted by: Snoop-Diggity-DANG-Dawg at February 17, 2009 06:33 AM (WGcw3)
Timmy has fallen down the well... and taken the markets with him. Lassie is riding around on Air Force One with teh Chickenlittle-in-Chief spreading the gospel of FUD across the land.
What. A. Team.
Posted by: sherlock at February 17, 2009 06:33 AM (jdXw+)
Posted by: southdakotaboy at February 17, 2009 06:34 AM (TC4J/)
Posted by: southdakotaboy at February 17, 2009 06:34 AM (TC4J/)
Posted by: G at February 17, 2009 06:39 AM (5r0Tz)
Posted by: G at February 17, 2009 06:39 AM (5r0Tz)
Thanks for the "sarcasm tag deal", it really helped.
Posted by: R. Ziskey at February 17, 2009 06:48 AM (LlaBi)
Thanks for the "sarcasm tag deal", it really helped.
Posted by: R. Ziskey at February 17, 2009 06:48 AM (LlaBi)
Maybe Zer0's doing the "clown car" thing - how many clowns can he fit into his cabinet?
Posted by: THeREsaD at February 17, 2009 06:49 AM (MO2LE)
Maybe Zer0's doing the "clown car" thing - how many clowns can he fit into his cabinet?
Posted by: THeREsaD at February 17, 2009 06:49 AM (MO2LE)
Posted by: George Orwell at February 17, 2009 07:03 AM (v6gTb)
Posted by: George Orwell at February 17, 2009 07:03 AM (v6gTb)
Socialists want to manage risk by denying it.
Posted by: Old Sailor at February 17, 2009 07:03 AM (/Ft4q)
Posted by: Darling at February 17, 2009 07:09 AM (7AD1r)
No Deputy or Undersecretaries appointed? Best Transition EVAR!
Posted by: Techie at February 17, 2009 07:10 AM (906oR)
Posted by: Roy at February 17, 2009 07:10 AM (cB77O)
Posted by: Tim at February 17, 2009 07:15 AM (3Wewy)
Posted by: Vic at February 17, 2009 07:19 AM (f6os6)
The Obamassiah will raise his Marxist kingdom out of the ashes ... he just has to do a little more burning first ...
Posted by: bill at February 17, 2009 07:21 AM (yXtKX)
Posted by: AnonymousDrivel at February 17, 2009 07:21 AM (sI5Ho)
None of this matters. Bush will still be the fall guy. It will never be Obama's fault.
Posted by: outraged at February 17, 2009 07:21 AM (penCf)
#10: Detoxifying these bad assets by having the government purchase them is so insane it makes me want to pull out my internal organs and throw them at someone. They know that we're in this mess because of artificially raised real estate prices caused by government promises to purchase risky investment. Now they are doubling down on the bubble, after the bubble has burst. "Bring back the champagne! We were happy when we had champagne!"
You can't fool economics. People who can't afford their mortgage should find a cheaper place to live, even if that means (*gasp*) renting. It costs more to own a home than just the mortgage, and the difference makes home ownership more expensive than renting. People on the margin of home ownership are usually better off financially if they rent their dwelling and put the money they would have spent on associated homeowner bills into the bank.
Posted by: Loren Heal at February 17, 2009 07:23 AM (1/FwS)
Posted by: Techie at February 17, 2009 07:31 AM (906oR)
Posted by: Obama's Elf at February 17, 2009 07:32 AM (IDAhw)
Bush, busy operating as Governor of a large and dynamic state had a historically abbreviated transition with all sorts of animus and legal distraction when he beat ManBearPig. Team Bush really didn't miss a beat and then he had to handle 9/11 very shortly thereafter. They managed.
Obama had a clean path with zero real Senatorial obligations for about a year and a half other than to be "present," was loaded with campaign cash so he could coast for weeks at a time, had a media that covered for him saving him campaign money and embarrassment against a very weak Republican (except when Palin provided a challenge), and had months to prepare for his transition into the Oval Office. Team Obama has been one debacle, lie, flip-flop, and personnel failure after another.
The difference could not be more stark. Bush the "idiot" is a human supercomputer and administrator extraordinaire compared to Teleprompter Jesus.
Do you think enough voters are noticing? Unfortunately, I think not. Yet anyway.
Posted by: AnonymousDrivel at February 17, 2009 07:34 AM (sI5Ho)
This seems to be the typical Obama program model:
1 - Announce "We have a new plan that will make everything all better."
2 - ???????
3 - Everything is all better.
Posted by: Ronsonic at February 17, 2009 07:42 AM (ywSvi)
Posted by: Blue Falcon in Boston at February 17, 2009 07:47 AM (SMD8k)
didn't george costanza perfect the art of appearing to look as though he were working by adopting a furrowed brow and huffing a bit. I'm just saying obama looks soulfully at the camera while having a serious look but actually doing nothing-not that I'm comparing the two.
Posted by: ed at February 17, 2009 07:49 AM (Urhve)
Obama and Geithner are trying to tell us they're planning a wedding -- first, the date is set, then help is enlisted, and input is weighed; then the details are considered and reconsidered and finally planned in detail; it'll be expensive, and some of the guests from both sides of the church's aisle will get obnoxious at the reception; but no one's going to stand up to object on the big day.
But they're really planning a bachelor party -- everything's a big secret, despite all the claims to keep the principals in the loop; then SURPRIZE! the girl comes out of the cake and she's not that good looking; and by the way the beer is warm. This party sucks.
Posted by: FireHorse at February 17, 2009 07:50 AM (5KNeJ)
Posted by: MaureenTheTemp at February 17, 2009 07:52 AM (8cihe)
Posted by: andros at February 17, 2009 07:56 AM (k39jK)
Remember when we used to tell the Japanese to do the quick band-aid rip and let the huge crappy banks fail...immediately?
Has anyone noticed the vast majority of the medium and small banks are just fine?
There is a lesson here. If I could just put my finger on it.
Posted by: Circa (Insert Year Here) at February 17, 2009 08:01 AM (B+qrE)
Posted by: Alex at February 17, 2009 08:04 AM (Tr7vq)
Posted by: SGT Dan at February 17, 2009 08:05 AM (EsBr1)
Posted by: George Orwell at February 17, 2009 08:11 AM (v6gTb)
Posted by: ed at February 17, 2009 08:15 AM (Urhve)
Posted by: who knew at February 17, 2009 08:24 AM (ZM2Vo)
Posted by: CDR M at February 17, 2009 08:34 AM (cqZXM)
Posted by: CDR M at February 17, 2009 08:37 AM (cqZXM)
I heard that Timmy wanted some feedback on his original proposal so he made it to a few congress people on Monday night and they laughed at him so he took all of the details out of the plan he presented on Tuesday.
I've also heard there are several factions in the White House all at odds with each other over what do to. Which is another reason there are different messages coming out of the administration.
You'd think a former community organizer would be better an organizing.
Posted by: TheQuietMan at February 17, 2009 08:54 AM (1Jaio)
I blame Bush.
Why not? These bastards certainly will.
By the way, what makes you morons think the Dems are seeking a solution here? It gets worse and they feel immune, better and they take credit. Then raise taxes.
Posted by: Spartan Fan at February 17, 2009 09:06 AM (7365r)
Posted by: HULUGU at February 17, 2009 09:09 AM (5v0Hx)
my bet is MSM doesn't link the market plunge to TARP or the porkulus package.
CNBC was hitting it pretty hard this morning. It shocked the shit out of me. I expect old Belezebub is down there ice skating now.
Posted by: Vic at February 17, 2009 09:12 AM (f6os6)
Circa: Has anyone noticed the vast majority of the medium and small banks are just fine?
Yes, they are for the most part doing well because they did not jump into the investment banking/mortgage derivative swimming pool buck naked like Citi and BofA, et al. I think the best/safest place to keep your nest egg would actually be in a Credit Union which is not allowed to do investment banking. Yes, they do mostly mortgages, but they flipped all of those over to the big banks as derivatives. I doubt they are actually holding many toxic assets.
That's my opinion, but I'm not a financial guy so follow at your own risk.
Posted by: oLD gUY at February 17, 2009 09:47 AM (n1yDn)
Let's all not foget that Geithner is Too Big to Fail®.
Had Obama not pimped his bailout plan so heavily in his press conference last week, Geithner could have stated that he was still working out the details and would present when he had everything ready to go. No one would have given it a second thought.
Instead, we got the "I've got a secret plan and it's gonna be gangbusters" line. A week later we are still waiting.
Posted by: Steve L. at February 17, 2009 10:01 AM (Gkhxf)
Didn't Obama make the same claim about Afghanistan? We see how well that's working.
Posted by: oLD gUY at February 17, 2009 10:05 AM (n1yDn)
Orwell
the GOP spent like drunken sailors, the Dims spend like a dozen drunken sailors, the Messiah appoints Howdy Doody to Treasury, and the S&P loses half its value in six months?
We are living in a parallel universe now. We have left the Shores of Sanity, and are gliding down Rivers of Beyond, past the Gulf of Endless Sorrow, into the Land of Was.
Posted by: Julian Bream plays J.S. Bach at February 17, 2009 04:16 PM (Wd3dh)
Posted by: remy hair at February 17, 2009 05:25 PM (9Bw41)
Posted by: Anonymous at February 18, 2009 02:34 AM (aLnB3)
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