XPost: alt.politics.ec, alt.politics.economics, it.economia   
   XPost: soc.culture.europe, uk.politics.economics   
   From: Reality@Check.it   
      
   Reality_Check© wrote:   
   > Buffett to Congress: Bail out economy or face 'biggest financial   
   > meltdown in American history'   
   >  a.. NEW: Senator says negotiators consulted Buffett, other business   
   > experts   
   >   
   >  b.. NEW: House Speaker Nancy Pelosi wants draft posted by noon,   
   > lawmaker says   
   >   
   >  c.. Lawmakers make "great progress" on financial markets bailout deal   
   >   
   >  d.. "Breakthrough" came through new idea proposed by Pelosi   
   >   
   > WASHINGTON (CNN) -- Billionaire Warren Buffett told congressional   
   > negotiators that if they can't agree on a proposed financial bailout,   
   > the nation will face "its biggest financial meltdown in American   
   > history," two sources familiar with the talks said.   
   >   
   > Word of Buffett's omen came as House Speaker Nancy Pelosi announced   
   > "great progress" in reaching a deal on the White House's proposed   
   > $700 billion bailout of the financial system.   
   >   
   > Buffett, whom Forbes magazine has placed at No. 2 on its 2008 list of   
   > richest Americans, was one of several business experts whose opinions   
   > were sought, Sen. Kent Conrad, D-North Dakota, told reporters   
   > Saturday.   
   > Buffett is chairman and CEO of Berkshire Hathaway Inc. His wealth is   
   > estimated at $50 billion. Buffett was consulted by telephone, Conrad   
   > said. Watch leaders announce progress on the deal »   
   >   
   > Conrad, who heads the Senate Budget Committee, said he was involved   
   > in some of the talks, though he is not on the formal negotiating   
   > team, which is made up of Rep. Roy Blunt, R-Missouri; Sen. Judd   
   > Gregg, R-New Hampshire; Sen. Chris Dodd, D-Connecticut; and Rep.   
   > Barney Frank, D-Massachusetts.   
   > They are expected to reconvene Sunday, but no time has been given.   
   > The goal is to reach consensus on a package and announce a deal   
   > Sunday, in time for the start of financial markets around the world,   
   > Gregg said.   
   > Pelosi is hoping to have a draft of the proposal posted online by   
   > noon, he said.   
   >   
   > Flanked by Senate Majority Leader Harry Reid and other congressional   
   > leaders, Pelosi announced early Sunday that a long evening of talks on   
   > Capitol Hill had yielded progress.   
   >   
   > "We have to get it committed to paper so we can formally agree,"   
   > Pelosi said.   
   >   
   > Under the tentative deal, a board including the treasury secretary,   
   > secretary of commerce, head of the Securities and Exchange Commission   
   > and chairman of the Federal Reserve would oversee the rescue plan,   
   > Conrad said.   
   > The $700 billion would be disbursed in stages, with $250 billion made   
   > available immediately. The Treasury also would establish an insurance   
   > program -- with premiums paid by the industry -- to mitigate taxpayer   
   > losses. The deal would probably also include some curbs on the   
   > compensation of executives at companies that participate. Watch what   
   > the bailout could mean for you »   
   >   
   > The government would get the right to receive equity stakes in the   
   > companies that sell their assets. The measure is an attempt to reduce   
   > fiscal risk to taxpayers.   
   >   
   > House Republicans have not signed off on the plan, but Blunt said   
   > Saturday he would present it to the GOP caucus Sunday morning after   
   > it's on paper.   
   > "I think we're going to be able to have an announcement tomorrow, but   
   > these are difficult issues," Blunt said.   
   >   
   > Reid said the "breakthrough" just before midnight Saturday was made   
   > possible by an idea proposed by Pelosi. Her idea involved how to   
   > address questions about whether taxpayers would be protected in the   
   > bailout, a senior House Democratic aide said.   
   >   
   > "We've made great progress toward a deal which will work and will be   
   > effective in the marketplace and effective for all Americans,"   
   > Treasury Secretary Henry Paulson said, standing beside Reid and   
   > Pelosi. iReport.com: Are you upset about the bailout?   
   >   
   > Paulson first announced the plan September 18.   
   >   
   > Frank, the House leader on the issue, said the final plan will be a   
   > compromise that includes some of the original Bush administration   
   > proposals and elements demanded by congressional negotiators.   
   >   
   > "I do think we have reached as good a product as you can in this   
   > democracy, given all the interests," Frank said.   
   >   
   > Gregg said he saw "dramatic progress toward accomplishing something   
   > that is critical for the American people."   
   >   
   > "We can't underestimate what we face as a threat relative to a fiscal   
   > meltdown and the impact it would have on Main Street," he said. "This   
   > is about people's jobs. It's about people's savings. It's about   
   > people's ability to participate in commerce and send their kids to   
   > school and be able to borrow money to run their small businesses."   
   >   
   > The Bush administration was "very pleased with the progress made   
   > tonight in these discussions," White House spokesman Tony Fratto   
   > said. He applauded the "hard work on both sides of the aisle."   
   >   
   > The Bush administration is seeking authority for the Treasury to buy   
   > as much as $700 billion in troubled mortgage assets that are weighing   
   > down banks and other financial institutions.   
   >   
   > If enacted, it would be the most dramatic and extensive government   
   > intervention in the economy since the Great Depression. The aim is to   
   > unfreeze the credit markets -- short-term lending among banks and   
   > corporations -- by giving the Treasury authority to purchase bad   
   > assets from banks and other financial institutions.   
   >   
   > The core of the problem is bad real estate loans that have led to   
   > record foreclosures when the housing bubble burst and home prices   
   > declined.   
   > In the past two weeks, the banking world and Wall Street have been   
   > reorganized by a wave of collapses and mergers.   
   >   
   > The most recent development was Thursday's seizure by federal   
   > regulators of Washington Mutual, once a major mortgage lender and the   
   > nation's largest thrift.   
   >   
   > Thrifts are entities -- such as savings banks and saving and loans --   
   > that are set up to hold deposits for individuals.   
      
   --- SoupGate-Win32 v1.05   
    * Origin: you cannot sedate... all the things you hate (1:229/2)