To assist Main Street, Reich proposes the following:
Congress and the Obama administration should give homeowners the right to go to a bankruptcy judge and have their mortgages modified.I would also like to see a real program that targets lending for small businesses during this crisis. Goldman has set "up a crudely conceived $500 million PR program to help Main Street." But a "PR program" is hardly one that will be most beneficial to small businesses, although I'm sure likely recipients would not turn it down. Small businesses are really hurting.
And while they're at it, resurrect the Glass-Steagall Act that used to separate investment from commercial banking, so Wall Street can't continue to use other people's money to gamble.
Finally, before Goldman hands out $17 billion in bonuses, claw back the $13 billion Goldman took from AIG and the rest of us and add it to the pool of money going for mortgage relief.
Might Reich's proposal work better in relief for Main Street?
4 comments:
I think Reich's proposal does have potential. President Obama has always championed the small business owner. Hopefully, he can push the small business crisis to the front of the line for rejuvenation. Something needs to be done and quickly.
I think the mortgage modified request to a bankruptcy judge would also help many homeowners. It would give hope. That's always a good thing.
Kelly - I also think that this proposal has potential. But I don't think anyone's listening. Washington seems to have its own agenda paid and bought by lobbyists. I keep asking what are we going to do about it? We bailout out Wall Street but leave Main Street broke.
Judith, I thought of you immediately when I read this WSJ article "No More Executive Bonuses." http://online.wsj.com/article_email/SB20001424052748703294004574511223494536570-lMyQjAyMDA5MDMwMDEzNDAyWj.html
"Eliminate bonuses. Period. Pay people, including the CEO, fairly. As an executive, if you want a bonus, buy the stock, like everyone else. Bet on your company for real, personally." Radical stuff, but....
Thanks for thinking of me, John. I check out the link for sure. I like the sounds of it. Of course, the naysayers will say that you can't tell private companies what to do. My thought is fine. Then, we'll regulate the hell out of you and not bail you out. Whatever works best for ALL concerned. I'll read the article and will probably have something to say about it. Thanks again.
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