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posted by admin on September 30th, 2008 at 6:58 AM (MST)

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What a couple of weeks so far. Let's start with last week in Oxford. We had tremendous success in Oxford presenting our case for change in the United States Senate.

My speech on the Square in Oxford was well received on Thursday, especially in light of my opponent not appearing in an area he feels he has to win in order to secure a sixth term. To be fair, he was dealing with the Bailout legislation, which I will discuss later, but it has been par for the course for him not to be anywhere near me during the campaign. It will be interesting how he handles coming to Jackson State's Homecoming, considering that is my alma mater.

Anyway, back to Oxford. The Democrats were strong in numbers. From rallies to a major presence on the Grove, all of the candidates on the Democratic ticket in the 1st Congressional District made a great showing. We intend to win the 1st District, as we see that is where the battle line for this election has been drawn.

McCain, doing his angry grandpa imitation, did some damage to himself in NE Mississippi with his attempt to shun the debate. It was mentioned repeatedly that $5 million was spent to put this debate on and many felt McCain was inconsiderate of this fact. The appeal of "Country First" may fall on deaf ears come November in the 1st District.

As for the bailout, I have a problem supporting a plan that gives $700 billion to people whose greed led us to the financial mess we are in. At this moment, Congress is doing what it should have done, take its time to develop a strategy to let the market work its way out of its own mess.

I find it hard to believe that the lending market does not have enough liquidity (cash) to pull itself out. And I definitely have a problem with allowing Wall Streeters to get a total do-over off taxpayer funds without any secure recourse for recovering them.

Whatever plan that is approved should have an increase in account insurance from the FDIC to $250,000, rather than the current $100,000. Certain mortgages should be re-negotiated in bankruptcy court to avoid foreclosure. The bankruptcy law should be revisited and corporate executives affected by the bailout should not be rewarded, meaning no golden parachutes, no massive compensation packages.

As the stock market took a record plunge yesterday, keep in mind this also a period where the market was already in the middle of a market correction. Stock values pushed up to re-coup losses in retirement funds are now coming back to reality. (Can we say $150-a-barrel for oil?)

It is my understanding that we, the taxpayers, will inherit the bad loans (assets) and hope to sell them when the market is on the upswing. We may get some of the money back, but the best way to insure this is to have the financial institutions affected by the bailout, in whatever form they re-emerge, buy back the majority of those assests.

The stock market will rebound quickly because of bargain hunters buying quality stocks cheap. The lending market is an undercurrent market compared to the stock market. With that said, let's not give $700 billion in one shot. One proposal is to put $160 billion in the market, and then let us see what happens. If the issue is lack of liquidity then let's put a little out there, not a total commitment.

People need to be able to buy homes and cars. Businesses need to expand. Therefore, our lending market needs to recover, but we must be prudent in our solution.

Remember the last major impulse decision we made? Over 4,200 men and women lost their lives and we are still spending $12 billion a month as a result. Just something to keep in perspective.


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