Norman Solomon: Requiem for the Bailout Storyline

[marmar]

THURSDAY 16 OCTOBER 2008


Truthout Original

Requiem for the Bailout Storyline
Thursday 16 October 2008

by: Norman Solomon, t r u t h o u t | Perspective




It's mid-October, and the Wall Street bailout that was supposed to save the economy from collapse is a flop.

Only two weeks ago, the media hype behind the $700 billion bailout was so intense that it sometimes verged on hysteria. More recent events should not be allowed to obscure the reality that the news media played a pivotal role in stampeding the country into a bailout that was unwise and unjust.

Exceptions in the news coverage underscore the fact that other perspectives were readily available when the Bush administration began pushing its bailout proposal in late September. "Many of the nation's brightest economic minds are warning that if the Wall Street bailout passes, it would be a dangerous rush job," McClatchy Newspapers reported on September 26. For instance, economist James K. Galbraith called the warnings of economic disaster in the absence of a swift bailout "more hype than real risk." He added: "A nasty recession is possible, but the bailout will not cure that."

When the House of Representatives rejected the bailout on September 29, all media hell broke loose. During the next few days, journalists and selected sources took turns decrying the failure of House naysayers to recognize the urgency of the moment. The nation's economy was at stake, and craven ideologues on Capitol Hill were dithering around!

Countless editorials and pundits castigated House members who had voted no. The condemners spanned the mainline media spectrum; liberals, moderates and conservatives excoriated the House and called for a swift reversal.

Senate passage came on Thursday, October 2, and the next day a chastened House approved a revised version. That Friday afternoon, President Bush signed the $700 billion Wall Street bailout into law. .......(more)

The complete piece is at: http://www.truthout.org/101608K

[MisterP]

1. b-but YOUR 401k is at risk! gibber! gibber! fear! n/t