McCain: Americans Are Suffering from a ‘Crisis Of Confidence’
EmailABC News’ Bret Hovell reports: Calling the credit crunch "the greatest financial crisis of our lives," John McCain attempted to make the administration’s financial rescue package relevant to middle America Tuesday. Speaking at a roundtable with Iowa business leaders in Des Moines, he said Americans were suffering from a "crisis of confidence."
"One of the reasons why Congress failed to act effectively was because it hasn’t really sunk in that people are hurting, and are being hurt, are Main Street, families, small businesses, those kinds of people that are the engine of our economy," McCain said.
"And the unfortunate aspect of this seems to be we are finger-pointing and trying to place the blame rather than trying to fix the problem," he said.
In his prepared remarks which opened the panel discussion, McCain said "we cannot allow a crisis in our financial system to become a crisis of confidence."
But a few minutes later, speaking without a script, he seemed to indicate that the economic situation had, in fact, already gotten that bad.
"We’ve got a severe crisis of confidence among the American people…" McCain said. "So we have a confidence building – a confidence restoration challenge that needs to be made here. And so when we go to the American people, we have to make sure that they have the confidence, which they do not today, that the changes that we make will be to their benefit and not for political reasons or for reasons of helping people on Wall Street."
McCain said that assurance would be key to winning passage of the administration’s proposed bailout of the financial sector.
In order to improve the bill’s chances of passage, McCain has recommended increasing the FDIC’s insurance coverage to $250,000, a non-controversial step that Sen. Obama has also suggested.
McCain reiterated his call for Chris Cox, the chairman of the Securities and Exchange Commission to step down. McCain said that even good people have to take responsibility when things go wrong on their watch, which elicited a large round of applause from the audience.
McCain has given little indication of what he will do to help resurrect the bill in Congress. He told ABC News’s Ron Claiborne Tuesday morning that he would "take the advice and counsel" of leaders of Congress on how he can be most helpful.
"I’ll do whatever is necessary," McCain told Claiborne. "I don’t know that that necessarily means go back to Washington."
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Yes. We know McCain. Now stop stating the obvious and do something.
Look at your poll numbers. There’s a reason why their dropping.
Posted by: Vanessa | September 30, 2008, 2:28 pm 2:28 pm
So, you know, we’re getting stampeded here to vote for something that doesn’t help homeowners, that doesn’t do anything about foreclosures, that doesn’t help those people who have been in bankruptcy and are looking for a way out. As a matter of fact, it made sure they can’t get out. So, who’s this for? It’s for speculators. It’s to play a game that provides some temporary help in the market, and, you know, you might see an uptick today if this passes the House. On the other hand, if it doesn’t, we need to be ready to find a way for Wall Street to address its problems without having to tap the increasingly diminishing resources of the federal taxpayers.
Full Transcript
Though there is bi-partisan support for a bailout, who are we actually trying to help.
John McCain calls for more oversight and wishes for a plan to allow homeowners to stay in there homes, but it was Hillary Clinton that put forth proposals that may have actually had a chance at easing the financial crisis on Wall Street and Main Street.
In response, Senator Clinton outlined a series of proposals to address the crisis:
Create a new entity to buy up and quarantine toxic mortgage securities that are dragging down the markets which would allow the markets to stabilize. Last spring Senator Clinton was among the first to call for a new entity modeled after the successful Depression-era Home Owners’ Loan Corporation (HOLC) or the Resolution Trust Corporation (RTC) created after the Savings and Loan crisis.
Place a temporary moratorium on the most abusive stock transactions, many of which involve the “short-selling” of stocks. Yesterday, Senator Clinton wrote to the Securities and Exchange Commission urging such a moratorium, saying it would provide breathing room for the markets to recover, for investors to make accurate assessments of companies and for regulators to assess what trading practices should be permanently banned.
Convene an emergency economic summit to show the American people their government is working together. Bringing together leaders in the administration and Congress with lenders, consumer advocates, non profits, financial institutions, and all stakeholders will allow a coordinated response to the crisis.
Aggressively pursue and encourage mortgage modifications. Senator Clinton has introduced legislation to remove barriers to mortgage modification and to encourage lenders to voluntarily work with borrowers to keep them current on payments and in their homes.
Restore competent federal oversight of the increasingly complicated financial markets. The rapid evolution of the securities and banking industry overwhelmed the current regulatory framework, resulting in a “shadow banking system” that operates outside of oversight and without accountability.
Require transparency and accountability on executive pay. Senator Clinton has proposed the Corporate Executive Compensation Accountability and Transparency Act to impose new transparency rules on executive pay, end the accounting techniques that hide compensation, and provide shareholders a say in executive compensation packages.
Ensure the accountability of financial institutions borrowing money from the Federal Reserve’s new lending facilities. Taxpayers deserve to know that the companies they are bailing out are on the road to recovery and aren’t throwing more good money after bad.
Posted by: HP Boston | September 30, 2008, 2:35 pm 2:35 pm
McCain, Bush and the Republican House leadership failed to pass the leadership threshold. If McCain is unable to lead the most ardent members of his own party who supposedly really want him elected, why would anyone have any confidence in his ability to lead our country?
Posted by: Think about It | September 30, 2008, 2:45 pm 2:45 pm
Mccain cant even lead his own party cant even manage his own campaign look at it its a mess HOW IN GODS NAME WILL HE LEAD THE COUNTRY and if something should happen to him in which i hope it dont WE GET PALIN god help us GOD BLESS THE USA!!!
Posted by: angie | September 30, 2008, 2:49 pm 2:49 pm
I wanted to point out two AP stories that deal with a proposal to raise the FDIC limit. The first story says that Sen. Barack Obama supports such a proposal. That is, frankly, shocking, since the idea was actually proposed by House Republican negotiators on Saturday evening, but was strongly rejected by Senate Democrats. Rep. Chris Shays has introduced this proposal as legislation (H.R. 7235). The second AP story mentions the House GOP support for this proposal.
Why is Sen. Obama embracing a proposal his colleagues rejected? Why did Senate Democrats reject the proposal initially? Have they all changed their minds, or is Sen. Obama breaking with his colleagues? Interesting questions …
Posted by: HP Boston | September 30, 2008, 2:50 pm 2:50 pm
Yes we have a crisis of confidence in you and your judgement in picking Palin
Posted by: votor | September 30, 2008, 2:52 pm 2:52 pm
McFlipFlopper.
We don’t want this to degenerate into a crisis of confidence.
A few minutes later.
Oh no we are already in a crisis of confidence.
Which is it Senator McCain?
Or did you really want to say “mental recession” from this bunch of “American whiners”?
Posted by: Steve_NJ | September 30, 2008, 2:52 pm 2:52 pm
I wanted to point out two AP stories that deal with a proposal to raise the FDIC limit. The first story says that Sen. Barack Obama supports such a proposal. That is, frankly, shocking, since the idea was actually proposed by House Republican negotiators on Saturday evening, but was strongly rejected by Senate Democrats. Rep. Chris Shays has introduced this proposal as legislation (H.R. 7235). The second AP story mentions the House GOP support for this proposal.
Why is Sen. Obama embracing a proposal his colleagues rejected? Why did Senate Democrats reject the proposal initially? Have they all changed their minds, or is Sen. Obama breaking with his colleagues? Interesting questions …
Posted by: HP Boston | September 30, 2008, 2:53 pm 2:53 pm
Vanessa, Angie and Beck – paid Obama bloggers, or people with a lot of time on their hands.
Posted by: Dorcas Roescher | September 30, 2008, 2:55 pm 2:55 pm
What a shame, the Repubs are electing HUSSEIN simply by default. “GET OFF YOUR ASS McWIMP AND FIGHT BACK” You are letting this street punk become the next POTHS. You aint’ gonna get another chance Pal!! Who the hell is in charge or your campaign anyway? I know, this is all falling on deef ears, ughh!
Posted by: bombem | September 30, 2008, 2:57 pm 2:57 pm
HP Boston.
FYI Senator Obama is in the Senate not in the House.
Who tells you the Repugs were the first to have the idea?
This idea has been around from as far back as 2000.
FYI the Repugs don’t have a monopoly on good ideas.
Posted by: Steve_NJ | September 30, 2008, 2:57 pm 2:57 pm
Watch Biden and Palin Prep for the debate. http://www.watchdebate.com
Posted by: paear Luik | September 30, 2008, 3:00 pm 3:00 pm
See the Palin impersonator Joe Biden is using to practice with http://www.theveep.com
Posted by: I love Huckabee | September 30, 2008, 3:02 pm 3:02 pm
Americans were suffering from a “crisis of confidence.”
Looks like we have another crisis on our hands…
Was we not just suffering from something else… what was that called?
What a total Empty Suite…
Posted by: beck | September 30, 2008, 3:19 pm 3:19 pm
A crisis of confidence – is that like a mental recession?
Posted by: Paul | September 30, 2008, 3:20 pm 3:20 pm
steve_NJ: I’m one repub who had a good idea. I moved out of NJ in 86′
Posted by: bombem | September 30, 2008, 3:24 pm 3:24 pm
Steve_NJ: I suppose you wouldn’t mind living under a Muslim potus. Every time I visit there it’s like being in the middle east anyway. I could’nt believe it when I payed my toll on the Pkway to a person wearing a vail and a burkah.
Posted by: bombem | September 30, 2008, 3:33 pm 3:33 pm
I’m sure if President Bush told everyone that they should not spend 700 billion on the bailout, then all of the American people would be in favor of the bailout. A crisis in confidence is putting it mildly.
Posted by: Ratfinkrus | September 30, 2008, 3:40 pm 3:40 pm
It will not come as a complete surprise then, when BOMBEM discovers McCain sometimes sleeps in black pajamas.
Posted by: ricky | September 30, 2008, 3:42 pm 3:42 pm
We have faced a crisis under this President before. After 9/11 Bush led the way. He should try the same thing he did then. Tell us to go shopping.
Otherwise the financial terrorists win.
The credit caps freeze. Polar bears win.
Posted by: ricky | September 30, 2008, 3:44 pm 3:44 pm
HMMMMM, do you have intimate knowledge of that ricky?? I’ll bet you know what color Barney wears too. Come on now, you can tell me. Don’t be afraid!
Posted by: bombem | September 30, 2008, 3:56 pm 3:56 pm
Crisis of leadership is more like the problem. The difference between our government and a girl scout troop is that the girl scout have adult leadership.
McSame running around like a cowboy in and old radio show proved he has nothing to offer.
Posted by: Rodger Lemonde | September 30, 2008, 4:10 pm 4:10 pm
guys and gals, do ya think it has naything to do with the bimbo john mccain chose as running mate – the second most ruthless choice he’s made – after dumping wife one for an heiress who was young enough to be his daughter?
yes we’re scared – some of us – unlike the kids over at daily kos have college kids and mortgages. politics isn’t a game – and the least we can expect from congressmen is that they stop acting like 3 years olds with binkies.
Posted by: mara | September 30, 2008, 5:21 pm 5:21 pm
mara: “HUH” what did you say? Please, please don’t tell me you were educated in the USA..
Posted by: bombem | September 30, 2008, 5:35 pm 5:35 pm
marm: I’m trying to understand your post. Please tell me what the hell is a binkies?
Posted by: bombem | September 30, 2008, 5:50 pm 5:50 pm
mccain has no power in his own party—-could not deliver the 12 votes needed——however i hope all vote against it—it will be a lesson well learned—–dont buy if you cannot pay—
Posted by: rodney | September 30, 2008, 7:13 pm 7:13 pm
Wait John, I thought like your buddy Phil Gramm says: “This isn’t a crisis, it’s just ALL in our heads; And we’re all a nation of “whiners!” The only thing that is suffering more than the welfare of the American people is your shot at becoming our next President, Mr. Incompetent!!! Anybody in for a 3rd Bush term???
Posted by: hmn | September 30, 2008, 7:40 pm 7:40 pm
McCain got 60 Republicans on board for the bailout plan. However, the Dems never intended to pass the bill, they wanted it to fail so they could blame the Republicans.
Doesn’t everyone know that the Dems have the majority? They didn’t even need 1 Republican vote to pass this bill.
Now the Dems are going to go back re-instate the first bill with all the lobbyist payouts and pass the bill and claim that they “saved” the American people.
The majority of the American people don’t even want the bailout.
Posted by: S Adams | September 30, 2008, 7:41 pm 7:41 pm
Everything McCain does, is typical of acting on afterthoughts. He charges in and then pays the price. This is a maverick? I believe that’s why he likes committee’s so much as well – things don’t change quickly on committees and allow him time… time to think, time to act… Being President isn’t for someone like him. He may have all the best intentions in the world, he is to be fully respected for what he did for our country, but that alone does not grant him the wisdom and self control to be a President. And…Palin… well, she speaks for herself. I wonder if she has EVER gave a direct answer to anything…
Posted by: Deb | September 30, 2008, 9:51 pm 9:51 pm