Barack Obama lambasts government over economic bailout

Calcutta News.Net
Sunday 21st September, 2008

Democrat Barack Obama has said the US administration is lumbering taxpayers with a massive price tag to bail out Wall Street while having no real plan to fix the stricken economy.

In a strong reaction against the government's 700-billion-dollar proposal to buy up distressed mortgage assets, Obama also accused Republican rival John McCain of helping to run the economy aground.

Obama, speaking to a large rally, said the Bush administration had given Wall Street a blank cheque and left American taxpayers on the hook.

He said: "This initial outlay of up to 700 billion dollars is sobering, even if the Treasury recoups its money over time.”

Obama said that US trading partners must help shoulder the burden of fixing the crisis sweeping through the world financial system.

He stated that Wall Street and Washington had led the people to a “perilous moment” and blamed the crisis on an era of greed and irresponsibility.

“They said they wanted to let the market run free but instead they let it run wild," he said.

Obama said the crisis was an indictment of Bush and McCain's zeal for deregulation.

He criticised John McCain for his stated policies of Wall Street-style competition for healthcare insurance and Social Security retirement benefits.

Obama said his policy would include no open-ended offer to Wall Street without greater transparency and oversight, but would concentrate on help for homeowners to stay in their homes and a sound regulatory structure.

The crisis has helped to restore Obama's lead in the polls, with the latest Gallup tracking poll putting the Democrat at 49 percent to 45 for John McCain.

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