September 23, 2008 - 08:01 PM

Bailing On Our Principles

by Mike Huckabee
Frankly, I’m disappointed and disgusted with my own Republican party as I watch them attempt to strong-arm a bailout of some of America’s biggest corporations by asking the taxpayers to suck up the staggering results of the hubris, greed, and arrogance of those who sought to make a quick buck by throwing the dice. They lost, but want the rest of us to cover their bets so they won’t be effected in their lavish lifestyles as they figure out how to spend their tens of millions and in some cases, hundreds of millions in bonuses and compensation which was their reward for not only sinking their companies, but basically doing the same to the entire American economy.

It’s especially disconcerting to see the very people who pilloried me during the Presidential campaign for being a “populist” and not “understanding Wall Street” to now line up like thirsty dogs at the Washington, D. C. water dish, otherwise known as Congress, and plead for help. I thought these guys were the smartest people in America! I thought that taxpayers like you and I were similar to the people at the U. N. who have no translator speaking into their headset - that we just needed to trust those that I called the power bunch in the “Wall Street to Washington axis of power.”

The idea of a government bailout in which we’d entrust $700 billion to one man without Congressional oversight or accountability is absurd. My party or not, that is insanity and I believe unconstitutional.

Will there be far-reaching consequences without some intervention? Probably, but we honestly don’t know since we’ve really never seen this level of greed and stupidity all rolled into one massive move. But may I suggest that letting “Uncle Sugar” step in and bail out the billionaires who made the mess will be far worse and will start a long line of companies and individuals who will demand the same of the government---which last time I checked means that they will be demanding it out of YOU and ME. This is not money that Congress is risking from THEIR pockets or future, but ours. Many if not most of us have already experienced lost value on our homes, retirement accounts, and pensions. Now they’d like for us to assume some further risks so they won’t have to.

What happened to the “free market” idea? Is that only our view when we WIN and when we LOSE, we ask the government to come in and take away the pain?

If you are a small business owner, is this the way it works at your place? When you have a bad month, a bad year, or face having to close, can you go up to Congress and get them to write YOU a fat check to take away your risk?

Some of what contributed to this disaster is too much government in the form of Sarbanes/Oxley. Some is due to the tax structure that created the hunger for companies to “game” the system. Some is the common sense that was ignored like loaning money to people who can’t pay it back.

Wall Street has become Las Vegas east, but at least in Vegas, people KNOW they are gambling and they don’t expect the government to cover their losses at the tables. In Wall Street, they do. And the American taxpayer burdens the responsibility.

If Congress wants to do something, here are some suggestions:

       1. Eliminate ALL capital gains taxes and taxes on savings and dividends right now. Free up the capital and encourage investment. This is the   kind of  economic stimulus the Fair Tax would bring and if Congress is going to lose money, let them lose it with lower taxes, not with public dollar bailouts of  private market mistakes.

  1. Repeal Sarbanes/Oxley. It has failed. It was supposed to prevent this. It didn’t. Kill it.

        3.  Demand that the executives who steered their ships into the ground be forced to pay back the losses of their companies. Of course, they can’t, so let  them work and give back to the government and they can live like the people they put on the streets or kept there. It makes no sense to put them in jail—that’s just more they will cost you and me. I’d rather them go out and earn money—just not get to keep so much of it this time. I’m not talking about limiting CEO salaries---just those of the people who now are up in Washington begging for help because they ruined their companies.


Attempts by Democrats and Republicans to blame each other is nonsense. They are both guilty and ought to own up and admit it. They all lived off big campaign contributions and the swill of the lobbyists who strong armed them into permission to steal. Enough of blame. Fix it!

This would be a start. If we don’t hold these guys responsible, we are all finished.

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  • wertwo

    02/07/2009 09:54 PM

    I AM SO GREATFUL FOR FOLKS LIKE MIKE HUCKABEE. YOU ARE A PATRIOT AND AS A FELLOW PATRIOT I WILL HELP ANY WAY I CAN, INCLUDING BEING A HUCKPAC VOLUNTEER, AND CONTRIBUTING MYSELF AS WELL AS RAISING MORE FROM OTHER PATRIOTS.
    JIM
    LAKE HAVASU,AZ.

  • Braveheart, Lara

    10/13/2008 12:51 PM

    “A demockery is dangerous because it is a one-vote system as opposed to a Republic, which is a three-vote system. Three votes to check tyranny, not just one. Citizens have not been informed of their other two votes.”
    ~ <a href="http://vote-4-1776.co.nr/">Vote-4-1776!!!</a>: Guerrylla-Law for Patriots ~

  • Ronsick, Sandra

    10/03/2008 03:38 PM

    I pray that John McCain will step up to the plate and start showing his stuff. Sarah did a great job last night at the debate. I am worried that John signed off on the Senate bill when now we see it is loaded with pork barrel spending...WHERE'S YOUR OLD BLACK PEN, John? Come on, don't say one thing and then turn around and do another. Stand up and tell the American people that this bill is wrong when it is loaded with extras...this is business as usual in Washington. Palin is the only new,fresh face on the scene and I for one and willing to give her a try.

  • Goff, Steve

    09/27/2008 10:57 AM

    Dear Huckpac Community:

    After careful thought and consideration I feel that I must inform you of some things, as I have been under a lot of conviction this past night.

    First I will start with the Church and the IRS. I have been against the IRS using the church's tax free status to limit their speech in political affairs for some time now. (As obvious by my post last night) This has more to do than with political endorsements, because I feel that it is a violation of the freedom of speech. I aslo feel that this type of law presents a slippery slope in the sense that government can start limiting the church's speech on things like abortion, homosexuality, or anything that it deems to be "intolerant." (Even to the point of denying the church's right of claiming JESUS CHRIST as the only way to salvation.)

    With that being said, I must address the Church's role in politics. I do not think that there is anything wrong with Pastors encouraging their flock to vote for leaders who are more aligned with God's standards. I also believe that it is not wrong for the church to preach against unjust laws that are disaligned with God's word.

    With this in mind, I do believe that their is a potential threat when the church becomes TOO political. The primary goal of the church is not to point point people towards human leaders, but towards God's Son: JESUS CHRIST. If a pastor wants to endorse a candidate than I believe that is fine, but the church should never get to the point where it takes its eyes off of Christ and focuses them on man.

    This is not to say that Christians should not be politically active--as long as we have the freedom to elect our leaders we should cast our vote men who honor God and his laws. But we should never get to the point where we only look to man for the answer. JESUS CHRIST is the only answer to the problems of this world. With that being said we should continue to support those leaders who share our principles.


    We have seen the end of human government in the book of Revelation: It ends with the Anti-Christ assuming control, and the rest of the world following after him. Subsequently those who follow him will be desroyed and cast into the Lake of Fire. May we continue to support Godly leades during these perilous times while staying focused on Christ; the author and finisher of our faith.

    PS: This is going to be my last post for a while. It was a privilege to be a part of this forum

  • Atchley, Barbara

    09/27/2008 12:06 AM

    I heard on Fox News this afternoon that the failed bailout plan had an earmark of 20% attached to it. That earmark was heading to ACORN housing. I did a little research on ACORN and they have a lot of skeletons in their closet. 20% of 700 billion is a lot of money to any group, and ACORN is not just any group. Obama has campaign money ties to ACORN. Obama once worked as an employee for an arm of ACORN and also as an attorney for ACORN later in his career.

    This frightens me to no end to think that earmarks of this nature cannot be caught by the average american citizen. I also have a problem that they do not name the person who tried to place the earmark on this bailout bill.

    Can someone smarter then me chase this "ACORN" rabbit for me and see where this money trail leads?

    I know I did not imagine hearing this on FOX today. I had never heard of ACORN prior to hearing it tied to this earmark. I googled it and followed it to as many articles as I could find before I got tired myself. I would love to share the few online articles I did find with anyone interested.

    Email me at barbatchley@yahoo.com if you want what information I was able to uncover in an hours worth of google time on my own. My head is spinning right now... I just watched the first debate.

  • Rayborn, Linda

    09/26/2008 09:48 PM

    Governor Huckabee, Thank you for speaking out for the majority of Americans who do not support this buyout. Where does it end? It is very hard to watch these debates tonight because the man who SHOULD be on that stage is not there. The "silver lining" is that America will get to see alot more of you on Fox and speaking all over the country over the next 4 years before you become our 45th president!!

  • Maya

    09/26/2008 08:05 PM

    I was so please to hear Dave Ramsey mention your article and website today. When I saw the ad for your show on FOX last night I was thrilled! Very cool look, too, just perfect. Kind of retro..

    I wish so much you were on the ticket. I think the nation needs to get to know you better though, and the consciousness can be raised with you out there, opening minds and softening hardcore attitudes. I am so thankful to FOX and all the people who invite your contributions. We love you Mike Huckabee!!

    Thanks for all of your courage and steadfast efforts..many thanks to your wife, Janet, who might miss you sometimes.

    I cannot wait to see your show. I am praying for your health and stamina, for wisdom and right words to reach millions. Rock us on Saturday night!

    Maya

  • TOGETHER WE STAND!!!

    09/26/2008 07:04 PM

    Doctor David, Boy I would sleep much better if they did

  • Goff, Steve

    09/26/2008 05:18 PM

    The argument that NEITHER of the two candidates should not be involved or at least present in the decision over the economic crisis doesn't make much sense to me. One of these two men is going to INHERIT this problem in 39 days, and I assure you that they will not be sitting on the sidelines or having "phone conferences" over it. One of these men will have to take the helm and their knowledge and decision making abilities will have major reprecussions for our nation. Barack Obama said tha John McCain did nothing to solve the crisis. Maybe John McCain is trying to get a firm of grasp of the situation before running head first into what can be another potential "Great Depression." He doesn't have to solve the problem. He has to have a grasp of it when he steps into office.

  • Watts, Judith

    09/26/2008 02:32 PM

    I don't feel smart enough to understand all the ends and outs of this question. I bring it down to my home. When I make a promise to pay and it isn't met, my credit becomes very expensive or nonexistant. Why would it be different for others? I know there will be great economic consequences that will trickle down to me BUT in life there MUST be consequences to our actions or we never learn or change. I would rather suck up the consequences and change than bail out and learn NOTHING.

  • Dr. David

    09/26/2008 12:26 PM

    MSNBC is crediting Mike Huckaee with John McCain's decision to go ahead with the debate this evening. It reports that McCain changed his mind after Huckabee said it would be a tremendous mistake to skip it. It was not clear to whom he made that comment, though I did not see it on this website.

    But wouldn't it be neat if whoever was elected President started each day by calling Mike, and asking him what he should do next?

  • Doug

    09/26/2008 11:55 AM

    I mentioned before the only way we can get out of this financial mess is God's Way. Having said that we need to start at home. Crown ministries have excellent materials and guidence based on God's Word.
    http://www.crown.org/

  • Meyer, John

    09/26/2008 11:07 AM

    Oh, Lord, Gov. Huckabee...I so agree with you. Heaven help us! I prayed and prayed that you would be our next president. Then, when not, I decided to write in your name. Then, Sarah Palin came along...and I thought now I'll support McCain even though
    I don't agree with him on every issue. But I
    whole heartedly agree with Sarah on the moral issues...especially, Pro Life/no embryonic stem cell research/marriage between a man and a woman only....she is a strong/confident woman, grounded in her faith/a born again Christian. But now, I only wish it were you, Gov. Huckabee as President Huckabee and Sarah Palin as your VP. This is so difficult as a born again Christian...I try to live my life according to God's Word. I'm trying to make a honest decision according to God's Word as to who God wants me to vote for on Nov. 4th...also using the wisdom that God has given, and yet, in my heart still want to write your name in, Gov. Huckabee. The very last thing that this country needs is Sen. Obama as our president....the road to socialism for sure. It's a dilemma. If it were in God's will to intervene and cause an uprising here in America...God working a miracle....changing the hearts of the majority of Americans
    (particularly in the states with the most electoral votes)...enabling voters to write in your name, Gov. Huckabee---How awesome that would be! Then the people all over the world much less here in America would know that our God is Lord.

    God Bless you...giving you more wisdom than you can imagine/more direction than you can imagine/more boldness than you can imagine. We need you desperately, Gov. Mike Huckabee.
    Thank you for all you are doing...doing the right thing, standing up for truth/honesty...for always and forever remaining a true man of God.

    My husband John and I love you and pray for you daily. Keep on keeping on for American.

  • McOsker, Gerald

    09/26/2008 10:50 AM

    I am soooo angry about the current credit crisis. Even more angry about the solution proposed by our elected representatives in Congress and in the White House. People of conservative principles should not sit back and allow this bailout plan to move forward. This morning I made a monetary contribution to HuckPac. It's the most effective way to make my voice heard in Washington.

    Go Mike!

  • Cary, William

    09/26/2008 10:30 AM

    Three words you need to know about:

    credit default swaps

    I urge you to read up on these and how they are the *real* story behind what is going on right now. Please connect the dots.

    Credit default swaps are part of the derivative markets. This form of derivative has exploded in past few years. Per the International Swaps and Derivatives Association "[Financial firms and hedge funds] find it less expensive and easier to use these [credit default swap] contracts to hedge and to speculate rather than to buy and sell the underlying debt". Ugh. Nice going guys. Might you also have mentioned, being the industry trade group and gurus, that they could also become radioactive and meltdown the entire foundation of our otherwise functioning capitalistic system.

    So, yes, the surface story that you are all talking about here is bad enough. If that was all that was a play in the mess we'd have a real mess on our hands. If the only story here were "real" creditors and debtors trying to get less than favorable things worked out ... we'd be fine and this would be a problem, albeit not easy, but a problem that could be worked out.

    The credit default swap fiasco is 100x bigger (some hyperbole) than the surface issue that we're being told by our leaders.

    You need to start understanding the basics of the core problem that has the insiders running scared:

    "Credit default swaps were invented by major banks in the mid-1990s as a way to offset risk in their lending or bond portfolios."

    "Experts say that a hiccup in this (credit default swaps) market could set off a chain reaction of losses at financial institutions, making it even harder for borrowers to get loans that grease economic activity"

    This isn't new information just hitting the streets. These quotes and stories are from months and years ago:

    Ref:

    http://www.nytimes.com/2008/02/17/business/17swap.html

    http://www.fool.com/investing/dividends-income/2007/07/25/profit-from-credit-default-swaps.aspx

    http://en.wikipedia.org/wiki/Credit_default_swap

  • INSLEY, KATHLEEN

    09/26/2008 10:28 AM

    I agree 100%. Now how do we get Congress to listen?

  • Judge Deborah

    09/26/2008 10:24 AM

    If I am understanding correctly, it sounds like if there is not a government bailout, we could go into a 20s or 30s style great depression, with long bread lines.

    This won't hurt the billioniares or Wall Street financiers who have lots of cash stored in offshore accounts.

    Freezing the financial markets will hurt Joe and Jane Main Street American who wants to get their paychecks today and next Friday.

    Uncle Sam will make money from this deal, and taxpayers will be off the hook, but the homeowners who took bad loans may lose their homes.

    Rep. Michelle Bachman is one of the ones holding up this deal and sacrificing our paychecks next week. She is a tax attorney. She says that if we change the "Mark to Market" rule, the corporations can buy themselves out and prevent this bailout.

    1) Is this true?

    2) How would this work?

    3) Can Uncle Sam pull that kind of feat off this weekend to prevent an economic meltdown like we have never seen in our lifetime within the next 7 days?

  • mxnwilson

    09/26/2008 10:10 AM

    Goff, Steve,

    My thoughts precisely, although for 2008, I strongly support McCain/Palin.

  • Judge Deborah

    09/26/2008 10:09 AM

    Why don't Warren Buffet and Bill Gates come to the rescue and offer to lend $700 billion to these failing banking institutions?

    They've lived well gaming the Wall Street system. Let them bail it out. Then the 5% of homeowners who live on welfare and who can't meet their mortgages and shouldn't have been given mortgages in the first place won't be bailed out by taxpayers.

    Ann Coulter says this is Bill Clinton and Barack Obama and their friends at Freddie Mac and Fannie's fault to begin with.

    What is frightening is that 50% of U.S. mortgages are backed by Freddie & Fannie.

    Last night the Fed bought Washington Mutual and sold it to JP Morgan. Pretty soon, we'll have 3 or 4 big banks controlling everything. That's a scary thought.

    Bottom Line: Even the FairTax won't solve this problem today that will put thousands of small businesses out of business by next Friday. They simply won't be able to pay their employees next week.

    Do we really want to put half our country out on the street and in breadlines in 7 days?

    Also: markets across the world will be affected and this will hurt the economies of other countries which are much poorer than we are.

    Maybe we do need to open up drilling in America and bring our troops home from Iraq. Then when Iran takes over Iraq, we can send air bombers over since there will be no U.S. men and women on the ground.

    We also should add a provision in the bailout that there is to be no more taxpayer charitable aid to other countries until our budget is balanced and our U.S. debt is down to zero percent.

    We can bail out the rest of the world in every tsumani when we should be taking care of our own people.

  • Bond, Jill

    09/26/2008 09:28 AM

    This mess could have been predicted from the time they gave up the Gold Standard in currency and the time they began the Federal Reserve system.

    Since Huck wrote his piece it looks like there has been movement in the Republican Party to re-discover the wisdom of Conservatism, and one of those principles is accountability.

    I disagree with Huck that the criminals should not be jailed: THEY BELONG IN JAIL, especially people like Chris Dodd and Chuck Schumer. They were complicit in crimes and I am sure the FBI will discover more as time goes by.

    There is an excellent article right now on Worldnetdaily.com called The Rogues Gallery. Go there and read it and learn what criminals these politicians really are.

    Huck, you shouldn't cover for them and say they shouldn't be jailed. They might be white collar crimes but they have caused this country's economy to be on the brink of collapse and you say they shouldn't receive jail time as justice? I just don't buy it. You'd throw a criminal into jail if he was caught breaking into your house and stealing your money, why not white collar criminals who do the same thing, even if they wear nice suits and go on tv and pretend to be on your side while they steal from you?

    Also I would strongly suggest that people here in the next few days watch CNBC financial station instead of CNN or FOX or PMSNBC. They aren't pulling any punches on CNBC there about who is to blame for this mess.

  • Croke, Andrew

    09/26/2008 08:20 AM

    Thanks Mike for again standing up for America. You are a strong voice for us. This bailout is crazy! If we are a free market society, then let the market decide what happens to these companies that got greedy and took on all the extra risk. I can't help but think of one of your debates when you said if we want to jump start the economy why don't we build roads. If we are putting up nearly $1 trillion to save companies, how about take that money and improve our crumbling infrastructure? Just like the Civilian Conservation Corps in the New Deal, this would put many American's to work, pump money into local economies across the country and provide a great benefit to our vast road and bridge network.

  • Charron, Thomas

    09/26/2008 07:20 AM

    Saying we're simply bailing out the people who have already lost is a massive underestimation. Look at everyones 401k right now. In the last year, most people have lost 25% or more of their retirement. You know, the thing we where supposed to do to pay for life in the golden days. Oh, and the wonderful concept of home ownership? That needs loans. Guess who we have to borrow from? That's right, some of the very people we're bailing out.

    Yes, I totally agree that the plan needs to have MASSIVE oversight to ensure this isn't simply a stopgap solution that postpones the inevitable. I think we agree on that.

    But let's be clear. You asked what about the free market idea. Well, let's state the obvious. It already failed. An open and free economic environment DOESN'T mean anarchy, which is what some of the futures markets had become in the last 10 years.

  • Judge Deborah

    09/26/2008 06:58 AM

    Gov. Huckabee, you should have Michelle Bachman on your new show.

    The Congresswoman from Minnesota has been saying many of the same things you have about protecting taxpayers.

    Take her survey here:

    "Do you feel that the federal government should authorize Secretary Paulson to administer a $700 billion bail-out of our nation's struggling financial industries?"

    http://bachmann.house.gov/

  • S, P

    09/26/2008 04:37 AM

    Oh, why isnt Huck on this voting ticket? THIS is what our nation needs!! I've been behind him sine the beginning, ans everyday wich he was a viable choice! So sad.

  • Andreyuk, vandreyuk@gmail.com

    09/26/2008 04:13 AM

    Mr. Huckabee,
    you are doing great job! I agree with those people who says that you need to run for president again. Yes we need reform!! We need to stop becarousy!
    I was having a dream about fairtax and I was praying about. But I was amazed that you started to promote this idea. I am not politician but you are the one.

    God bless you!!
    Ven

  • Fine, Richard

    09/26/2008 03:17 AM

    Governor Huckabee,

    I am going to be discussing with my wife what we can contribute to your pac. I am unsure why we should though...
    What exactly are you going to do with the money you receive?
    How will it help to stop the bottom feeders in Washington from further ruining America?
    So far, I am writing my elected representatives and those that I have contributed to, asking them for once to fight for those of us who bear the burden of the stupid instead of the rich who have stolen from America.
    Honestly, I think it is a waste of time because our country appears to have switched over to an oligarchy where the rich control those in power.
    So again, I ask: What can you do with my money that I can't do myself?
    As an aside, I am a Realtor in the Sacramento, California region. We have been hard hit by the market and if anybody would like to see the real estate market improve by a bailout, you would think it would be a Realtor. Well guess what, I am more than willing to suffer if that means keeping the billionaires who have benefited from the market from being bailed out by people like me.
    By the way, if you are writing this stuff yourself, I am impressed. You can sure turn a phrase!

    Regards,

    Rick Fine,
    Granite Bay, CA.

  • Carr, Kevin

    09/26/2008 03:03 AM

    "So divide 200 million adults 18+ into $85 billon that equals $425,000."

    That's the kind of thing that helped get us into this mess. $85 billion divided by 200 million doesn't equal $425,000. I'm guessing whoever came up with these calculations works in government.

  • Ballard, Glenn

    09/26/2008 02:49 AM

    Hi Governor Huckabee,
    It actually makes sense for the government to invest in the banks IF the government also gets a large equity stake in the banks, like it did with AIG. Henry Paulson strong-armed a 79% equity share in AIG, in return for the government's infusion of cash into AIG. BUT, Paulson has been loathe to demand the same kind of equity stake from his buddies on Wall Street - clear hypocrisy and clear conflict of interest. Look deeper into it, so you can give more valuable advice. By the way, common Americans were fleeced back in 1973, when our government, under Nixon, took us off the gold standard. Since then, our money is "funny money," and the entire financial system is a house of cards, as we are seeing now. Let me know if I can help you - I'd love to. Glenn Ballard, San Jose, CA.

  • Goff, Steve

    09/26/2008 02:40 AM

    Newt Gingrich has some straight forward comments that "make sense" on his site. He and Mike Huckabee seem to be running on the same logic. Maybe we should have a Huckabee/Gingrich ticket for 2012.

  • Blanchard, Rob

    09/26/2008 01:27 AM

    Thank you Governor Huckabee for standing up for the people of America. One small question....Given that the Republican Nominee seems to support this bailout in principle...Do you still support him? Wouldnt you rather support a candidate who is against government intervention(such as Chuck Baldwin-Constitution party, Bob Barr-libertarian party or Ralph Nader-independent)?

  • Rolfes, Mark

    09/26/2008 01:11 AM

    Mike - I am so glad to hear you standing up on this, and not following along like all of the other scared lemmings.

    It's fine to complain, but we still need to find a market-based solution to address what is going on. I have talked to a number of people I know in the financial basis, and we still have a fundamental free market obstacle.

    Banks and financial institutions have all of these mortgage based securities that they just can not sell. Why can't they sell them? Because nobody knows how to tell how much they are worth.

    Say you own one of these bonds. Essentially, your neighborhood bank gave you a mortgage, and then sold it to an investment bank which bundles them up into a bond of 5,000 mortgages, and then sold them to an investor. Even in the best of times, there are always foreclosures, and investors would calculate a 1-2% foreclosure into the amount they would buy. The problems is that the percentage of foreclosures has gone way up.

    I am in the software business, and I talked to one of my finance friends about this. My idea was to take the 5,000 mortgages in a single bond, run credit checks on all of the mortgagees, and run a prediction program that would calculate an updated prediction of how many foreclosures one specific bond could expect, using current credit information on the borrowers - not the credit information from the time they got their mortgage. I had multiple sources tell me that this can not be done, because federal rules prohibit the owner of the bond from learning the identities of the mortgages which they own in the bonds!

    So here is the problem. No one can sell the bonds, because the buyers have no idea what they are buying. If there are 10,000 bonds out there, they have no idea if the one specific bond they are thinking of buying is worth 90, 70, 50 or 30 cents on the dollar. Are there relatively good or bad risks in any one bond. So no one is willing to take a chance.

    Basic economics state that the market needs good information to be efficient. So we need to change the law that prohibits anyone from opening up these bonds, and evaluating the current credit situations of the borrowers, so that a ratings agency can provide information to the market on the value of these bonds, on a bond by bond basis. Just like credit info is available to certain companies under strict rules by Fair Credit laws, so could it be done here to address privacy concerns or abuses.

    Now we have these bonds rated. Now investors can know what they are getting into. The bonds can now be valued individually. So how does this help?

    Many of these financial institutions are suffering from liquidity. They need cash, they have these assets, but no way to sell them to raise the cash they need. This represents a great buying opportunity for someone.

    Say a Warren Buffet (or someone else with a bunch of cash) recognizes that a particular bond is worth 65 cents on the dollar. Because there is so much supply, and not enough demand, they can buy it for 40 cents on the dollar. They have a potential to make a large profit. They still take a risk, because the foreclosure rate can still increase, beyond their estimates.

    This solution does this:

    * Provides liquidity to financial institutions
    * Solves the problem that "no one knows how to value these assets"
    * Provides a free market solution, making the idiots who gave out the loans take losses, while other new investors, who have been smart with their money, have the opportunity to make profit, which they will deserve, because they are also taking on risk.
    * Provide better information to help the free market work more efficiently
    * A free market solution that conservatives can be proud of by eliminating archaic rules that prohibit information getting to the market place
    * Let the market find equillibrium - not put all of our eggs in one basket - the Treasury Secretary. No one man can be trusted with this much.

    I am willing to work on this, if you have a way to use these ideas, or need me to help. The key is presenting this to the American people in ways an average American can understand.

  • XRGR

    09/26/2008 12:06 AM

    Mike:

    Who is Henry Paulson? Please check this out (he is NOT one of us!)

    <a href="http://en.wikipedia.org/wiki/Hank_Paulson">http://en.wikipedia.org/wiki/Hank_Paulson</a>

    Conflict of interest
    There has been some criticism of Paulson, with suggestions that Paulson's plan may potentially have some conflicts of interest. This since Paulson is the former CEO of Goldman Sachs, a firm that may benefit from the plan. Unlike the previous bailouts and managed liquidations of Goldman competitors Bear Stearns, Merrill Lynch and Lehman Bros. and those of AIG, Freddie Mac and Fannie Mae, in which shareholder value was largely wiped out, Goldman's stock would likely rise under the Paulson plan, benefiting his former partners, because it would take distressed assets off of their balance sheet.

    The proposed bill would give him unprecedented powers over the economic and financial life of the U.S.. Section 8 of Paulson’s plan states: “Decisions by the Secretary pursuant to the authority of this Act are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency

  • XRGR

    09/25/2008 11:52 PM

    Mike:

    Please say "NO!!" for us to let this $700,000,000,000,000.00 fall into those priviligeous cow's pockets! IT WON"T HELP US!! I can't believe the President and his friends are SHAMELESS enough to even ask that favor. Bush has done that before, he had used his War-time authority to architect the smoke screen for Iraqian War. We cannot buy any WRECKLESS ideas from him anymore.

    If this country needs $700,000,000,000,000.00 that much credit for business lending, for Wall Street confidence, we can HAVE some innocent PARTY to minister that $700B - WE DON'T HAVE TO GIVE THAT ASTRONOMIC CHECK TO Goldman Sach, Leighman Bro's, F & F, ... !

    But Mike, never, you and other smart & honest Republicans ever let this $700,000,000,000,000.00 fall into those fat cows pockets. That does not sound like Americans!

    Please think about this option :
    If our Government can raise 15 figures from our poor tax-payers, the govt should be able to set up a foundation such as credit-lending foundation so that money can be used by the public.

    PLEASE AMERICA, DO NOT BUY BUSH's TRICK AGAIN. I can't believe

    Just think about you didn't pay your credit card debt $3300.00 for the next ten years, what would that end up as? And also don't forget this population is aging, getting older, and people getting trickier, only a few people really pay tax, this country would be left with nothing!

    Please consider setting up a billion-dollar foundation for public lending but NOT paying those guys!! This would give the Wall Street a heart pill and do the public a favor !

    Is that FAIR?

    L.

  • Brooks, Beverly

    09/25/2008 11:44 PM

    What can the average citizen do? I have contributed toward Huck Pac, but there has to be something else.

  • Thorne, Aaron

    09/25/2008 10:52 PM

    Steve, it sounds like we're in agreement. I also agree that Gov. Huckabee may have been talking about the legislation as it was talked about during the time of its passage, rather than what was actually written in the Federal Register. I hadn't really considered that possibility when I first read the piece, but reading the original post again I can see how that might have been the intention.

  • b, richard

    09/25/2008 10:20 PM

    They have been putting band aids on our financial cancer tumors for years, now they have some solution.. sew em up but good and seal the bleeding. Only the good doctor and our wise preacher know that you remove the cancer… and pray... but alas, it all falls on deaf ears..

  • Huckapedia

    09/25/2008 10:01 PM

    "Huckabee" Trivia Question:

    Which three states in America have the most "Huckabee Fans"?

    Click on the link below to find out!

    http://www.freewebs.com/huckapedia/huckabeefanclub.htm

    Is your state in the lead? Is it in the top 10?

  • Y, Jennifer

    09/25/2008 09:08 PM

    For the love of God and Country-- Gov. Mike Huckabee please run for president again.

    True conservative values have vanished from Washington, and we need your voice in reformation.

    Thank you for continuing to work and serve in every available capacity. God bless.

  • Schlaegel, Charles

    09/25/2008 08:03 PM

    Mike Huckabee for president... Seriously!

    I hope McCain is calling on you for advice in this matter for a longer term solution. I like your ideas as much now as I did when you were running for nomination of the Republican party.

    Huckabee for Pres, '12

    Chaz

  • G.P.Kelley

    09/25/2008 07:59 PM

    I'm speechless over the bailout mess, but your thoughts and comments today Gov. Huckabee help me, and I'm sure so many others begin to articulate our sadness, disappointment and anger.

    Thank you

  • Schleicher, Linda

    09/25/2008 07:33 PM

    Where was this bailout when individuals were losing their homes? The bottom line of this mess is greed. Banks were greedy to loan money to individuals who should not have qualified in the first place, homes were being appraised for values that were more than they were actually worth to maximize the greed. These prices also helped individuals qualify for loans based on equity that was not really there. If the government helped to bailout all the families then the banks would have the money but from the individuals not the government (not that that should have been the answer, either). To bailout the banks directly while people have already lost their homes does not prevent this from happening again. The amount they are looking at would pay 1/4 of 10 million homes - reasonably priced homes. Is this bailout a loan? Do the banks borrow this at a fixed interest rate or an ARM, is there a closing cost? How does this help America when big companies can run to the government to bail them out but the individual or small business has to deal with the loss? What about those individuals who make there payments on time and did not default or overspend and are only feeling the pain because of the falling value of the dollar? How does this help them when they did nothing to add to this mess. They will be paying for this bailout and if they were just getting by in the first place, but getting by none the less, this could then put them on that other side.

  • Debbi M in CA

    09/25/2008 06:51 PM

    akprayingmom....

    I got goosebumps when I read your post:

    "Governor Huckabee, I thank you from the bottom of my heart for all you and your family have sacrificed to help keep our country the strongest, safest best place to live and raise our families.

    We have called out to GOD for help, and He sent you!

    We are putting our hope and trust in HIM and know that you do too. Therefore, GOD has to told us we can listen to what He is saying and the direction to go by listening to Him through His humble servant MIke Huckabee! Like David, Samuel, Elijah, and Joseph of old, you are Messenger of Hope from the LORD GOD ALMIGHTY. We will continue to lift you up as you rest in Him to show us the way home!"


  • Debbi M in CA

    09/25/2008 06:47 PM

    akprayingmom....

    I got goosebumps when I read your post!

  • akprayingmom

    09/25/2008 06:00 PM

    I think this is an excellent plan!
    written by JUAN GALVIS,
    I believe that three things need to be kept separate in the debate over the bailout:

    1- Banks are out of cash, no other banks around the world want to lend them money (for obvious reasons), and they need a strong possitive cash flow to do business.

    2- Banks were fully aware of the amount of risk involved and made no countermeasures. They expected the bailout. If we just go in and assume their losses, we would simply be giving them a green light to do the same thing over and over. They need to assume responsibility for their bad lones.

    3- There are thousands upon thousands of families at the base of this mess who are likely to lose their homes because they cannot keep up with the payments. If the goverment assumes this loans, there will not be a way to collect that money. This will cause yet another endless debate in congress for the next five years.

    In my opinion the goverment should offer a loan (no buyout at all!) to the banks, on the following conditions:

    1- The banks must have a offer to renegociate/refinance the loans to more reasonable terms at no closing cost. The goverment can offer waiving fees and taxes involved.

    2- For those who still are not able to handle the refinanced terms, the bank will assume ownership of the property and the homeowners will be allowed to rent it from the bank for up to three years. During the three years, the homeowners would have the option to buy the property back for the same value that they owed when the owership transfer took place. At the end of the three years, the banks are free to auction, sell or whatever the see fit. The goverment could again offer to waive sales tax and other fees.

    3- The money loaned to the banks from the nation's treasury must be paid back with competitive interests. The nation is putting asside critical social investments in education, infrastructure, and energy development to help these companies out. It needs to be worth the sacrifice!

  • ashley, jeri

    09/25/2008 05:30 PM

    I get so tired of all the blaming going on right now. Wall Street is no more guilty of this mess than Main Street.

    Living beyond our means, unable to pay our debts, buying houses, cars, clothings, etc. that we can't afford, not knowing the difference between need and want. NO one is more guilty than the average consumer (except those who do not live beyond their means and are trying to invest a little money here and there).

    I am as mad as heck like most here that the government of the people and by the people are considering a bail out for CEOs, deadbeat welfare recipients AND the 'living beyond your means public' and their greed and bad decisions. BUT having said that, I would rather spend a little now than a lot later.

    We need clear cut understandable explanations of what this bill will cost us, adequate oversight as Mike suggests, and accountability.

    As always, the innocents will suffer for the guilty. The question is how much?

  • b, richard

    09/25/2008 05:16 PM

    Just like building your spiritual foundation on anything except Jesus results in crumbling morality and false religion, Our founders based this country on the Constitution, the principles of which are rooted in Christianity.
    Our government has all but totally strayed from those principles with institutions as the Federal Reserve, brought into existence by an Bill (Federal Reserve Act, 1913) which was in direct opposition to the Constitution regarding Congress having the sole power regarding currency creation. The Constitution would have to have been amended for such an act to be legal but it was allowed to stand anyway, much to our detriment today. The estimates of the FINAL cost of this bailout may be in trillions as reported by Bloomberg today. I wonder how much of this bailout is to cover wealthy investors and institutions which were heavily invested in derivatives and other so-called creative finances - at least an everyday crook, in the end, would admit he's wrong and not hide behind the colour of law, much like the publican who beat his breast acknowledging his sin. These crooks are about to get away with it and WE WILL BE FOOTING THE BILL.
    Anyone who votes for this is either economically challenged or a traitor.

  • akprayingmom

    09/25/2008 05:13 PM

    This corruption of major American corporations is just the tip of the iceberg. According to this video on You Tube, The Shocking Video Hillary Does NOT Want You To See! (NufffRespect 2 parts), the Clinton were able to not only steal the living hood of everyone working at Stan Lee Media and destroy the company, but cover up their involvement and secure the support and purgery of News Media, US Judges, and many high level government officials that there was absolutely no knowledge or involvement of the Clintons in any way. These videos have actual footage and phone conversation of the Clintons complete involvement in these felonies and yet they have be able to completely remove themselves from any liability and get others involved with them convicted in their stead.
    Governor Huckabee, as you said in you Bailing on Principles letter to us, "If we don’t hold these guys responsible, we are all finished."
    How DO we as average citizens hold corrupt powerful government official accountable? I'm not saying we can't, we HAVE to if our country and our families are to survive. But what can we do to really bring these people down?
    Governor Huckabee, I thank you from the bottom of my heart for all you and your family have sacrificed to help keep our country the strongest, safest best place to live and raise our families. We have called out to GOD for help, and He sent you! We are putting our hope and trust in HIM and know that you do too. Therefore, GOD has to told us we can listen to what He is saying and the direction to go by listening to Him through His humble servant MIke Huckabee! Like David, Samuel, Elijah, and Joseph of old, you are Messenger of Hope from the LORD GOD ALMIGHTY. We will continue to lift you up as you rest in Him to show us the way home!
    Love and grateful prayers
    Amy, Ruth Anne, Barbie, leadership of
    Mike Huckabee Presidential Prayer Team
    www.huckprayer.com

  • CM, Mary

    09/25/2008 03:56 PM

    As a lifelong Democrat, I have to say that I really appreciate this honesty and clarity of this article. Sadly, it seems that BOTH parties have sold out the American people, and it is going to take independent thinkers who are not afraid to speak the truth even when it goes against party line to change things. Thanks for this insightful piece. You are a TRUE maverick, Gov. Huckabee.

  • Judge Deborah

    09/25/2008 03:34 PM

    My only question is this:

    If we don't approve a deal by Friday or Monday to loosen the credit markets, how will employers pay their employees?

    Will business come to a complete standstill and families go without groceries? How long can this go on before we see massive layoffs?

  • Dallas, William

    09/25/2008 03:25 PM

    As always you are a refreshing voice in the political wilderness! I emailed this to everyone oin my address book, including Senator McCain, hopefully before he gives away the farm!

    Kindest Regards,

    Will Dallas