The Republican House leadership is blaming Nancy Pelosi for making a partisan speech prior to the vote. Let me get this right: the entire economy is supposedly to on the brink, and a few words from Pelosi were sufficient to spoil the rescue plan?
Either the bill was worth supporting or it was not. How could the Republicans have put their very delicate political egos ahead of the public interest? Whatever Pelosi said, the Republican leadership's excuse is pathetic.
Krugman, an American economist whom recent history has largely vindicated, has taken this occasion to quote himself:
So what we now have is non-functional government in the face of a major crisis, because Congress includes a quorum of crazies and nobody trusts the White House an inch. As a friend said last night, we’ve become a banana republic with nukes.UPDATE: If you have Real Player, you can watch Nancy Pelosi's speech here. Pelosi was basically just describing what actually happened. Her speech was more factual than partisan. It's no secret who is mainly to blame for this mess.
UPDATE 2: Dow was down -720. The New York market is experiencing it's largest point drop of any single day in its entire history. Credit markets are described as "frozen" meaning businesses will have trouble borrowing money.
UPDATE 3: Dow closed down -777.7 points. That's the largest one-day point drop in history.