By Thomas Nagorski

Sep 17, 2008 10:23am

McCain: Flip-Flop On AIG?

This was Senator McCain on the Today Show Monday: Q: "They (AIG) need something in the neighborhood of $75 billion to become secure again. What should the government do? First of all do we even have that kind of money in the system?" McCain: "The government — of course, this is one of the outstanding and glaring examples of terrible problems and greed and corruption and excess that has caused all this fallout which is going to harm the average American worker. No, I do not believe that the American taxpayer should be on the hook for AIG and I’m glad that the Secretary Paulson has apparently taken the same line." Q: "So, if we get to the point, in the middle of the week when AIG might have to file for bankruptcy, they’re on their own." McCain: "Well, they’re on their own. We cannot have the taxpayers bail out AIG or anybody else, this is something that we’re going to have to work through." This was Senator McCain to Robin Roberts on GMA this morning, when asked whether he agreed with the Fed’s bailout of AIG: McCain: "Now on the bailout itself, I didn’t want to do that. And I don’t think anybody I know wanted to do that. But there are literally millions of people whose retirement, whose investment, whose insurance were at risk here. They were going to have their lives destroyed because of the greed and excess and corruption."

User Comments

John McCain you are a true American Hero and have been a public servant, we appreciate that. You DO NOT have the know how or judgement to make vital decisions for our country. This is another example of his shortcomings. He makes statements based on fear and emotion aimed at the American people, yet he did not have any knowledge on what would have happened if he would have been the one to make that decision. You are not intelligent enough to even decipher or listen to economic advisors.

Posted by: Barb | September 17, 2008, 10:35 am 10:35 am

Bye bye McCain. You lose the election this week and next.

Posted by: dem in chicago | September 17, 2008, 10:36 am 10:36 am

This old man is simply lost on this issue and others. Lately his “America First” slogan needs an addendum “After me”

Posted by: shannon | September 17, 2008, 10:36 am 10:36 am

I still dont know why mcain is relevant in these or any discussion!

Posted by: kola | September 17, 2008, 10:38 am 10:38 am

Boy, the man is just everywhere! Not that I blame him, but this seems like torture to ol John.

Posted by: D | September 17, 2008, 10:39 am 10:39 am

This is another example of Senator McCain’s judgment. If he hadn’t thought about the answer on Today, then he should have deferred. The interviews were in the same week. This is not an example of being convinced of something over time and changing your mind after careful consideration. This is a flip flop.

Posted by: SET | September 17, 2008, 10:39 am 10:39 am

he does this all the time. he takes a position and then flip flops and just bullies the press. he did the same thing with regulation and oversight telling the wsj in march he was against more regulation and oversight and now regulation and oversight are his solutions. but again when asked about this he just get’s mad and pushes the press back. the press needs to get some and report this, not just blog about it but report it on the evening news.

Posted by: william | September 17, 2008, 10:41 am 10:41 am

This crisis is making evident that McCain does not have the judgment, temperment, or know-how to be president. His own campaign is atrociously undisciplined and their faults are starting to show. Let’s hope the news gets out, and people start to really see it! This man’s presidency would be a disaster.

Posted by: jon in maryland | September 17, 2008, 10:51 am 10:51 am

Please, please let’s elect someone who can think. McCain is a shoot-first, clean up later guy. He lucked out (maybe) with Palin. he was the Chairman of the Commerce Committee during the republican rule, so is in large part responsible for this mess. This is part of the ‘Trust the bug companies with the money, they know what to do with it’ mentalility that we so desperately need to get rid of, which McCain seeks to perpetuate.
Enough is enough, indeed. Take a chance, vote Obama.

Posted by: Steve from NH | September 17, 2008, 10:56 am 10:56 am

Palin. All you need to know about McCain’s judgment.

Posted by: Gus | September 17, 2008, 10:58 am 10:58 am

The problem for McCain is that the banking crisis is a complex issue – one not easily summed up by one of his simplistic bumper sticker sound bits.

Posted by: freedomfighter1975 | September 17, 2008, 11:00 am 11:00 am

John McCain had a previous opportunity to show his judgment and understanding of extreme financial crises. He failed. The time was the 1980’s and America was gripped by the Savings and Loan crisis. The United States Senate found that John McCain exercised poor judgment in aiding the head of a failed savings and loan. Despite his involvement in this debacle, he continued to support deregulation until his sudden conversion a few days ago.

Posted by: expatfamily | September 17, 2008, 11:04 am 11:04 am

This guy, McCain, is as nutty as a three dollar bill. I have never seen so many lies in my life. He is out of touch with, not only my life, but, with the rest of America as well. This man has nothing but “Washington” written all over him. A vote for McCain is a vote for Bush.

Posted by: Keith from CT | September 17, 2008, 11:07 am 11:07 am

This guy is an idiot. He has zero understanding of economics and his own advisors admit he can’t run a corporation. Why the hell should he run the US?

Posted by: mo | September 17, 2008, 11:10 am 11:10 am

It don’t matter. Your are either for him or not. One day he is this, the next day he is that.
He is so much into reform that he reforms himself to fit the day.
Reactionary reformation with a knee jerk.

Posted by: Thinking | September 17, 2008, 11:15 am 11:15 am

To any serious observer out there – I have a question?
Why are all the polls so close despite the clear evidence that Obama gets it on the number one issue: the economy and even too some extent foreign policy and health care but John McCain doesn’t?
Even the MSM, columnist and commentators have been asking this question but none have had the courage to answer truthfully.
The answer: Its Mr. OBAMA race stupid!
By the way, I am white and I know what I am talking about based on discussions I have had with many white folks. Its a shame that race is still a very big issue in America and it really makes me sick each time I hear someone say that they would rather keep Bush than allow a black man occupy the White House. Real Shame on such people.

Posted by: Ro | September 17, 2008, 11:17 am 11:17 am

McCain’s adviser Phil Gramm is the guys who eased up the rules to make these morgage subprime loans possible. Comine this with the fact that he thinks the economic consequeences of this is all “psycological” and you have to wonder why in the hell would a man who admittedly knows NOTHING about the economy, would listen to such an atrocius adviser? Sorry, I can’t vote for McCain, OR Obama. But John has NO clue! NONE!

Posted by: argh! | September 17, 2008, 11:22 am 11:22 am

hmmmmm i could care less about john mccain and what he thinks….why dont you start a blog to see what people think of the aig bailout?
i cant believe the rich elite get a taxpayer bailout…again. even that moron mccain knew it wasnt the ethical thing to do ,but when the phone rings and its your biggest campaign/party lobbyists/contributors on the other end crying the blues, i guess that changes things pretty much overnight.
the responsible aig ,merill lynch ,bear stearns and lehman bros executives should ALL BE PUT IN JAIL ,STARTING AT THE TOP ,anything else is just tacit approval of their irresponsible (and probably criminal) behavior.

Posted by: bah | September 17, 2008, 11:26 am 11:26 am

heres what a good president would do.
he would only allow government bailouts of non fdic insured financial institutions on one condition: the top corporate executives of the businesses in question must pay 95% of the profits they made over the last 8 years back into the business . that would be fair ,since none of these executives are hurting for money in any way shape or form ,they are at least multi millionaires all, and some are billionaires. why do these crooks get to keep profits they made at the businesses and shareholders expense while the business itself topples?
when our government steps in and takes care of this kind of problem without holding the executives in charge feet to the fire is the EXACT kind of tacit approval of criminal or borderline criminal business activity that allows it to flourish and grow. hey , its all about the money!!
these executives have been stashing back huge profits in swiss banks and elsewhere for the last 20 years, but now that THEIR company is facing massive problems (that THEIR OWN unscrupulous business practices have brought about),THEY expect a free ride @ taxpayer expense while THEY play golf and could care less what happens to poor old widows and orphans or whoever.
scrooge should take lessons from these guys…
they have billions they stole from hard working americans who expected a fair shake from them ,now these rip off artists get to shaft the american worker twice . I DONT WANT MY TAXES GOING TO PAY OFF SOME RICH INSURANCE COMPANIES’ DEBT FOR ANY REASON, I DONT CARE !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
just like the savings and loan fiasco of the 90s, ie; lots of rich folks make out like bandits while the american economy and the american worker/taxpayer get the bill. sound familiar?
if this fatcat bailout doesnt get you as a taxpayer personally fired up as hell and ready to punch someone in the nose you either must not understand what is really happening ,or you dont pay taxes.

Posted by: bah | September 17, 2008, 12:07 pm 12:07 pm

Could you please tell me what Obama is saying? All you seem to report on this days is how muddled McCain is – I’d like to hear more about the candidate with some focused ideas??

Posted by: Teri | September 17, 2008, 1:20 pm 1:20 pm

An idea worth considering. I’m against the $85 BILLION bailout of AIG.
Instead, I’m in favor of giving $85,000,000,000 to America in a “We Deserve It” dividend.
To make the math simple, let’s assume there are 200,000,000 bona fide U.S. citizens, aged 18+. Our population is about 301 million counting every man, woman and child so, 200,000,000 might be a fair stab at adults 18 and up.
Now, divide 200 million, 18+ adults into $85 billion – that equals $425,000.00 each! Yes, my plan is to give that $425,000 to every adult as a “We Deserve It” dividend. Of course, it would NOT be tax-free. So, let’s assume a tax rate of 30%. Everyone would pay $127,500.00 in taxes. That sends $25.5 billion right back to Uncle Sam! It also means that every adult 18+ has $297,500.00 in their pocket.
A husband and wife would have $595,000.00! What would you do with $297,500.00 to $595,000.00?
Pay off your mortgage – housing crisis solved.
Repay college loans – what a great boost to new grads.
Put away money for college – it’ll really be there.
Save in a bank – create money to loan to entrepreneurs.
Buy a new car – create jobs.
Invest in the market – capital drives growth.
Pay for your parent’s medical insurance – health care improves.
Enable deadbeat parents to come clean – or else.
Remember this is for every adult U.S. citizen, 18 and older (including the folks who lost their jobs at Lehman Brothers and every other company that is cutting back) and of course, for those serving in our Armed Forces.
If we’re going to re-distribute wealth, let’s really do it! Instead of trickling out a puny $1,000.00 “economic incentive”. If we’re going to do an $85 billion bailout, let’s bail out every adult U.S. citizen!
As for AIG – liquidate it. Sell off its parts. Let American General go back to being American General. Sell off the real estate. Let the private sector bargain hunters cut it up and clean it up. We deserve the money and AIG doesn’t.
Sure it’s a crazy idea, but can you imagine the coast-to-coast block party?!
How do you spell Economic Boom? W-e D-e-s-e-r-v-e I-t D-i-v-i-d-e-n-d! I trust my fellow adult Americans to know how to use the $85 Billion “We Deserve It” dividend more than do the geniuses’ at AIG or in Washington, D.C. And remember, my plan only really costs $59.5 billion because $25.5 billion is returned instantly in taxes to Uncle Sam. Good idea? I think so.

Posted by: Robert | September 26, 2008, 4:52 pm 4:52 pm

Sorry, the last post listed 85,000,000,000, that’s only 85 million. The correct figure should be 85,000,000,000,000.00 divided by 200,000,000 = 425,000.00.

Posted by: Robert White | September 26, 2008, 5:19 pm 5:19 pm

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