Dow Comes Back Big

The stock market is finally begining to prosper. Dow managed to jump 485 points, with the hope of the $700 billion package is passed by Congress. Despite the stock market starting to rase the credit market has stayed the same. This contributed to fears about the banks, the banks lending has reached a high, and firms have begun to keep funds hidden. Although Dow has added 485 points that doesnt make up for the 777 points that were lost the previous day.

Stock gains continued to raise and the agency is willing to insure depositors money, and are trying to increase the amounts they are willing to insure to reassure depositors if they had the fear of bankfailure. Due to all of this individuals and businesses are less willing to rush to withdrawl money from the accounts they have set up. According to the vice president at Performance Trust Capital Partners, Brian Battle is convinced that any impact will be because of psychological effects because, "They're trying to make bank deposits more sticky so people won't pull money out."

President Bush urged many people to support this bill because it would be able to provide finacial stability to our economy although many people dont feel that it will. Like Brian Battle said that its just a psycological effect, when people are told that the econmy is safe and secure they are willing to invest in the economy since they feel that the economy is going to prosper. By investing in different accounts in the stock market when the economy is low the stocks are cheaper than when the economy is good, the stocks are often more expensive. While investers have this false sence of security because of the "Bush's Bail Out Plan" they are willing to invest into the stockmarket, to make money easy, because if the economys rising, so will the stockmarket, and the investors would be making money. But if this "Bail Out Plan" doesnt end up helping the economy as it is suppose to many of the people that invested in the stockmarket will be out of money because many of the companys wont be able to insure all the money that they invested.

I think that if the plan works out the way that it is suppose to then that will be great for our economy, but just because this "$700 Billion Bail Out Plan" is suppose to stablize the economy it doesnt mean that it will even get passed, or end up helping our economy like it was planned. I think that if the plan becomes passed that it potentially could help our economy, and since this plan was suggested it is a very good sign that the stockmarket is already raising points. Many of the stocks that tumbled, are now bouncing back such as Bank of America, JPMorgan Chase, Merril Lynch, Morgan Stanley, Wachovia and many others have already rose, and are continuing to rise. Hopefully they all continue on this upward trend bettering the economy even after the bill was suggested, so if the bill is passed hopefully it will just contribute to the rise in the economy.

http://money.cnn.com/2008/09/30/markets/markets_newyork/index.htm?cnn=yes

Bush: Bailout plan necessary to deal with crisis

George W. Bush, the President of the United States of Anerica is concerned about the economic standing of the country. He said "our entire economy is in danger," and made a $700 billion bailout proposal. After the collapse of several influental money lenders, in the morgage market it became very obvious that our country is in a financial crisis. President Bush feels that this $700 billion perposal is the approprate action in regards to the given circumstance we are currently in as a country.

Bush feels that if the proposal passes it will allow the country to have confidence in the current market. Although Bush normally doesnt support government involvement in business, he feels that the current conditions the country is in is not normal, and that with the market not working the way that it should be, there needs to be action. Without action, the United States may be in a panic. "Bush said that if this proposal does not pass, the country would have to face a "long and painful recession."

The current Wall Street crisis is considered to be the worst the nation had faced since the end of WWII. Even the Federal Reserve cheif Ben Bernanke warned Congress to take action on this bailout package that is being proposed. Congress has to make the decision on whether or not they should allow the feederal funds to by up $700 billion in morgage related securities that has caused instablity on Wall Street, and credit markets throughout the world.

I think that this proposal isn't a typical decision that President Bush would make, a decision like this is normally thought of being a democratic decision because they are looking out for what is better for the group versus what is better for individuals. But like President Bush said, that our economy is not functioning. He feels that this would be able to stablize the economy, which at this point is very necessery.


http://www.cnn.com/2008/POLITICS/09/24/bush.bailout/index.html

Alaskan Is McCain's Choice; First Woman on G.O.P.

Republican nominee for this upcoming 2008 election, John McCain has elected his running mate, Sarah Palin. Sarah Palin is the governor of Alaska and she has little foreign policy experience. Although she's not in the Washington Beltway, McCain said to a rally "She's not from these parts, and she's not from Washington, but when you get to know her, you're going to be as impressed as i am."

Sarah Palin is sticking to her beliefs, but she applauds other women that are willing to try to take a stand and try to run for a presidential ticket like Hillary Clinton tried to do. Palin said in one of her rallies, "Hillary left 18 million cracks in the highest, hardest glass ceiling in America, but it turns out the women of America aren’t finished yet, and we can shatter that glass ceiling once and for all." She has a strong belief that women are more than capable of running for a postition that used to be viewed as a "man's job", and she is very supportive of other influential women in politics for taking a stand, even if they do not have the same political views.

Although Palin is McCain's running mate they do not have the same political views. They both have their own opinions on several different topics, but in general they do agree on most things. Some of the few things that Palin and McCain have different views on are, Palin believes that Alaska should drill for oil in the Arctic National Wildlife Refuge, and McCain doesnt agree. Palin isnt convinced that global warming is driven by pollution, which is different for most of the people in her political party. Most people in her party accepts that global warming is driven by pollution, like McCain.

Personally, I approve McCains choice of picking a female running mate because she may provide a different outlook when it comes to politics about how things should be run. As a women she would be able to relate to how women feel when it comes to politics and how women feel like a country should be run, where as typically the country is run by males. I also feel that with McCain picking a women as his running mate he may have been hoping to gain a few of Hillary Clinton supporters. I like the idea of Palin having different views and opinions on some issues that are different from what her party usually supports, such as global warming. Although i feel that she may not have enough experience to hold her own when it comes to politics once it goes to DC. Shes use to being the governor of Alaska, which is relatively small when comparing populations of some of the larger state governors may have more experience on how to run and keep order in a country, when they are use to having to run, and impress more people.


http://www.nytimes.com/2008/08/30/us/politics/29palin.html?pagewanted=2