'This Week' Transcript: Former President Bill Clinton

And to prevent risk-taking and to go into the resolution authority, is there so much money with so much discretion on the part of bureaucrats that there's no recognizable rule of law here, and you come back to a slush fund for crony capitalism?

TAPPER: And, in fact, a Republican pollster and message guru, Frank Luntz, wrote a memo in January in which he advised Republicans on how to tackle financial regulatory reform by saying, quote, "Public outrage about the bailout of the banks is Wall Street is a simmering time bomb set to go off on election day. To put it mildly, the public dislikes taxpayer bailouts of private companies. Actually, they hate it. Frankly, the single best way to kill any legislation is to link it to the big bank bailout."

And here's a montage of Republican Senate Leader Mitch McConnell.

(BEGIN VIDEO CLIP)

MCCONNELL: Endless taxpayer-funded bailouts...

Bailout...

Bailout...

Bailout...

Bailout...

... endless taxpayer bailouts...

Bailouts...

Bailout Wall Street...

Bailout...

Bailout...

Endless bailouts...

Bailouts...

Backdoor bailouts...

Bailouts...

Bailouts...

Potential future bailouts...

(END VIDEO CLIP)

TAPPER: I'm not exactly sure what he's trying to say there.

STRASSEL: Repetition. TAPPER: Does he have a point? I mean, regardless of the Luntz memo, does this bill create endless taxpayer bailouts?

STRASSEL: I mean, regardless of whether or not this might be good politics for Republicans is the question of whether or not that's the case. And there are provisions in this. There's this resolution fund, $50 billion resolution fund. The Fed's got emergency lending authority that's becoming more murky than what it already is. There's also -- the FDIC has a provision in here that says that the agency can guarantee corporate debt, any corporate debt, not just for financial institutions.

The problem here is that the Democrats have come to this bill with a mindset that, yes, we have all this stuff in here, but don't worry, because we're just going to put so many regulations on people and be so vigilant that we won't ever have to use this authority.

The problem with that is that the definition of a credit bubble and a credit crisis is something that you don't realize is happening until it's done and dusted.

So this is going to happen again. And as George says, there's got to be a bill out there that makes it very clear to the private sector that only their -- their directors, their shareholders, their investors are going to be the ones that pay this, and they're not going to get additional payments, they're not going to get -- they're going to be liquidated and gone.

TAPPER: The $50 billion fund would be not funded by the taxpayers. It would be funded by the big banks. But, Al, do you want to respond to...

HUNT: Yes, I would disagree with Ms. Strassel on this, but I'm amused by Mitch McConnell being this great anti-Wall Street populist. He was just up shaking the Wall Street money trees last week.

You know, Mitch McConnell as an anti-Wall Street populist is about as credible as, what, John Edwards heading a family values conference. I mean, this is a guy who's voted with Wall Street every step of the way. This is just a Frank Luntz memo talking point.

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