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The Economy: What Are The "CREDIT MARKETS"? http://www.americanprogress.org/issues/2008/09/economic_recovery.html In these tumultuous days, it is often overlooked that the fate of Wall Street is, in this particular case, especially intertwined with the fortunes of Main Street. The connecting link isnt just a matter of stock market volatility, but rather underlying problems in the credit markets. Lenders on Wall Street, and those who provide lenders their capital, are unable or unwilling to lend or invest because of the mortgage crisis. If nothing is done, the already large and growing impact on the routine borrowing of businesses will become even more acute. Businesses will face problems meeting payroll, purchasing inventory, and making investments—consequences reaching far beyond Wall Street. Personal credit for auto loans, student loans, credit cards and, of course, mortgages will also become harder to come by. The housing, mortgage, and financial mess have already ensnared the labor market. Jobs have declined for eight consecutive months in total non-farm employment. Not all job loss can be directly linked to the current financial mess, but it is safe to say that job losses have continued and the economys ability to mount a recovery is hampered by the turmoil. Since the start of 2008, the economy has lost a total of 605,000 jobs, while the unemployment rate hit 6.1 percent in August 2008, up from 5.0 percent at the end of 2007. The number of unemployed climbed to 9.4 million from 7.6 million over the same period. Tags: american bailout bank credit debt economy finance jobs market money mortgage progress rescue seeprogress street wall stock dow cnbc crash recession congress paulson bernanke mccain obama |
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The Economic Crisis-Congress Voted-Now What? http://www.americanprogress.org/issues/2008/09/conservatives_pain.html http://www.americanprogress.org/issues/2008/09/real_solutions.html Michael Ettlinger of the Center for American Progress offers his take on the latest news out of Washington and the financial markets after U.S. Treasury Secretary Henry Paulson and President George W. Bush yesterday failed to convince a majority of their own party in Congress that the consequences of failing to pass their $700 billion financial rescue package could be catastrophic for the U.S. economy. The American people over the next few days will catch a glimpse of the consequences in financial markets, at their hometown banks, and at their jobs, but should congressional inaction persist we may not experience the full brunt for a month or more. Thats why these next few days will be so telling. If those who opposed the rescue package in Congress do not feel responsible for the leading edge of the problems they have allowed to grow—as prices fall, borrowing costs rise, and more and more small- to medium-sized companies and financial institutions are unable to access credit—then they are unlikely to change their minds about the bailout plan. If their constituents do not get antsy as the problems of Wall Street start to spread to the companies they work for and to their own access to credit, and they do not demand action—no action may be forthcoming. Will the financial markets spook enough of the dissenters to change their vote on the bill, which fell only 12 votes shy of passage? That probably depends most immediately on how dramatic the reaction is in the commercial paper market, which was largely done with trading yesterday before the bailout bill went down to defeat. This vital credit marketplace—where companies tap short-term credit to smooth out their cash flow needs to make payroll and pay suppliers in a timely fashion—could react sharply today. This mornings record high for the benchmark London Interbank Offer Rate—the rate at which ... Tags: bailout bank bush credit debt economy lending money mortgage paulson pelosi rescue street subprime taxpayer wall ettlinger bernanke mccain obama congress crisis wachovia stock 401k jobs payroll seeprogress progressive american progress cap bond treasury fed loan senate vote republicans boehner buffett cnbc |
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The Greening of Newark - Transforming a City http://www.americanprogress.org/issues/2008/09/green_recovery.html Newark Mayor Cory Booker, along with partners including the Center for American Progress, made a commitment to the Clinton Global Initiative to begin the greening of Newark in order to stimulate the local economy, create good jobs and improve the environment. Nationwide, the signs are clear: Our economy is in trouble. Falling home prices, foreclosures, bank failures, a weaker dollar, rising prices for gas, food, and steel, and layoffs in banking, construction, and manufacturing sectors are all indicators of serious economic strain—following a long period in which the middle class went nowhere even while the economy grew as a whole. Whats more, evidence suggests the current downturn will continue for at least another year. At the same time, we face a growing climate crisis that will require us to rapidly invest in new energy infrastructure, cleaner sources of power, and more efficient use of electricity and fuels in order to cut global warming pollution. There is much work to be done in building smart solutions at a scale and speed that is bold enough to meet this gathering challenge. It is time for a new vision for the economic revitalization of the nation and a restoration of American leadership in the world. We must seize this precious opportunity to mobilize the country and the international community toward a brighter, more prosperous future. At the heart of this opportunity is clean energy, remaking the vast energy systems that power the nation and the world. We must fundamentally change the way we produce and consume energy and dramatically reduce our dependence on oil. The economic opportunities provided by such a transformation are vast, not to mention the national security benefits of reducing oil dependence and the pressing need to fight global warming. The time for action is now. Tags: american booker bracken cap carbon cgi climate clinton economy energy environment green jersey jobs new newark progress |
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An (animated) Plan to Rescue Taxpayers and Main Street http://news.yahoo.com/s/ap/20081008/ap_on_el_pr/mccain_mortgages http://www.americanprogress.org/issues/2008/09/fair_effective_graphic.html http://www.americanprogress.org/issues/2008/09/handle_with_care.html U.S. Treasury Secretary Henry Paulsons initial proposal for the giant Wall Street bailout would have given him, as secretary of the Treasury, the personal authority to spend $700 billion of taxpayers money to buy troubled financial assets on any terms he saw fit. He would then be authorized to sell these assets, also without limitation. Under his proposal, his actions are explicitly exempted from review by any court or administrative body. Congress appears to be moving Paulson off these extreme terms, but any final deal should rest meaningful control, true decision-making authority, not in one person and certainly not with the secretary of the Treasury of an administration that, in large part, authored this crisis. Paulson along with the rest of the Bush economic policy apparatus—and in fact all of those who are ideologically resistant to a role for government in the economy—are deeply implicated in the mess were in. Whether we call it incompetence, gross negligence or ideology run amok, no action was taken as the economy, and the financial sector in particular, grew more and more dependent on a mass of untenable loans in over-valued assets. Since that bubble began to burst they have dragged their feet in taking the kind of comprehensive action thats been needed—resisting congressional attempts to fix the housing market and calls by the Center for American Progress, among others, to jump in to stop the bleeding before it ever reached this stage. More aggressive action has been needed for months to preserve the value of homes for the benefit of homeowners, to protect the value which underlies the mortgage-related assets in the hands of investors, and to prevent the loss of so much value in our overall economy. Tags: bailout bernanke billion bush congress credit crisis debt economy treasury fed estate housing mortgage paulson real street wall lehman merrill goldman bear stearns finance house bank trade securities republican democrat mccain obama |
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President Mbeki Out in South Africa http://www.americanprogress.org/issues/security/regions Gayle Smith of the Center for American Progress weighs in on the news that South African President Thabo Mbeki will resign the President's office and step aside. That's good news for the many South Africans who've lived in poverty despite the end of apartheid. Tags: africa american anc economy johannesburg mandela mbeki poverty progress seeprogress south zimbabwe |
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Perils in Pakistan - Hotel Bombing & US Aircraft Under Fire http://www.americanprogress.org/issues/2008/08/terrorism_index.html The bombing of the Marriott Hotel in Pakistan is cause for grave concern according to Caroline Wadhams of the Center for American Progress. Pakistan's descent into violence is a real worry for US national security as elements of al Queda and the Taliban have grown in strength in the country. Tags: afghanistan al american bombing bush hotel islamabad marriott pakistan progress queda seeprogress taliban terrorism attack 9/11 mccain |
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Rescuing Wall Street to Save the US Economy - Neither Fair Nor Effective http://www.americanprogress.org/issues/2008/09/fair_nor_effective.html Ed Paisley of the Center for American Progress shares his thoughts on the unprecedented economic bailout being planned by the federal government. Unless U.S. Treasury Secretary Henry Paulsons first stab at a $700 billion rescue of the global financial system is revised to incorporate restructuring troubled mortgages, it will be neither fair nor effective. Paulsons draft legislation attempts to rescue the balance sheets of Wall Street but does almost nothing for homeowners on Main Street. Thats a fundamental flaw. The U.S. housing market won't recover without restructuring of underlying mortgages that are troubled. Global credit markets will not respond to this exceedingly expensive plan unless we get our fundamentals right. Moreover, taxpayers will be saddled with increasingly worthless paper as many of the underlying mortgages fail. The Paulson plan demonstrates a disturbing disconnect between the mortgage-related assets that taxpayers $700 billion is being used to purchase and the necessary restructuring of the troubled mortgages themselves. Many hard-working Americans are having trouble paying on their mortgages, which in turn is driving down the value of their neighbors homes across the country. Tens of millions of families have seen their home values plunge through no fault of their own. Nearly 1 in 10 American households—roughly 5 million—have a mortgage that is either in default or facing foreclosure. These are the families still struggling to pay their mortgage even after the earliest subprime borrowers have already lost their homes. Without provisions expressly aimed at helping these borrowers restructure their mortgages with the assistance of the federal government or through judicial modification, this grand plan to buy "toxic" assets from the financial institutions that engineered this market meltdown will not help the U.S. housing market recover. The Bush administration, however, is ... Tags: american bank credit debt economy fed lehman merrill money mortgage progress progressive street subprime wall paulson bernanke congress bush bear fannie freddie bailout |
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Rebuilding the Economy with Green Collar Jobs http://www.americanprogress.org/issues/energy What are green collar jobs? What effect will green collar jobs have on the economy? And how can we promote green collar jobs? Center for American Progress Senior Fellow Bracken Hendricks answers these questions in the lastest installment of CAP's ASK THE EXPERT series. Tags: american biofuel cap climate coal economy energy environment green hendricks jobs oil progress seeprogress solar wind |
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Lawrence Summers on Economic Crisis & Conservative Ideology http://www.americanprogress.org/issues/domestic/economy Lehman Brothers = bankrupt. Merrill Lynch = sold. Fannie Mac & Freddie Mac = in crisis. Bear Stearns = failed. Former Treasury Secretary Lawrence Summers appeared at the Center for American Progress to discuss the current economic crisis facing middle class America and the trickle down economic theory espoused by conservatives. Do tax cuts spur economic growth and pay for themselves with higher revenues on additional economic activity stimulated? This debate will be revived in the coming year as the incoming President and Congress will soon decide whether to renew of a variety of tax cuts adopted starting in 2001 and set to expire in 2010. Economists now have years of experience with this tax policy. What does the evidence show us? What has been the public debate about tax policy and supply-side and has it shifted in light of growing inequality and limited sharing of the benefits of economic growth? Tags: american bush cap debt down economy irs lehman mccain merrill money progress progressive seeprogress summers tax trickle |
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The Power of Progress - A Conversation with John ... John Podesta's discussion of his new book, The Power of Progress with SEIU's Andy Stern. Podesta the former chief of staff for President Bill Clinton and founder of the Center for American Progress, explains how progressive values changed America in the wake of the Gilded Age and how these values can shape policy to work for the American people. Tapping the spirit of great progressive leaders from Theodore and Franklin Roosevelt to Martin Luther King Jr., The Power of Progress provides the road map toward a government responsive to the needs of its citizens, one that is focused on our generation's greatest challenges: combating global warming, growing our economy and expanding the middle class, and meeting Americas 21st century security challenges. http://www.americanprogress.org/ Tags: american bush cap clinton energy government halpin podesta policy progress progressive roosevelt seeprogress stern |
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The Power of Progress - John Podesta - HIGHLIGHTS http://www.amazon.com/Power-Progress-Americas-Progressives-Economy/dp/0307382559 HIGHLIGHTS of John Podesta's discussion of his new book, The Power of Progress with SEIU's Andy Stern. Podesta the former chief of staff for President Bill Clinton and founder of the Center for American Progress, explains how progressive values changed America in the wake of the Gilded Age and how these values can shape policy to work for the American people. Tapping the spirit of great progressive leaders from Theodore and Franklin Roosevelt to Martin Luther King Jr., The Power of Progress provides the road map toward a government responsive to the needs of its citizens, one that is focused on our generation's greatest challenges: combating global warming, growing our economy and expanding the middle class, and meeting Americas 21st century security challenges. http://www.americanprogress.org/ Tags: american bush cap clinton conservative energy environment mlk podesta power progress progressive roosevelt seeprogress |
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US Security in 2008 - 7 Years After 9/11 - ASK THE EXPERT http://www.americanprogress.org/issues/2008/08/terrorism_index.html On the 7th anniverary of the September 11th attacks, how has global terrorism changed? What are the greatest threats facing the American people? How can we address emerging security threats? Caroline Wadhams of the Center for American Progress answers these questions in the latest installment of CAP's ASK THE EXPERT series. Tags: 9/11 afghanistan bin climate health iran iraq korea laden nuclear security seeprogress terrorism threat wadhams war pakistan middle east oil energy africa CAP american progress |
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T Boone Pickens at National Clean Energy Summit, Las Vegas http://www.cleanenergysummit.org/video/video.html http://www.americanprogress.org/issues/energy Highlights from T Boone Pickens' address at the National Clean Energy Summit, an event that produced an ambitious yet attainable outline for the future of clean energy in America and throughout the world. Nevada Senator Harry Reid, UNLV, and the Center for American Progress Action Fund partnered to host the summit. Bringing together leaders in government, business, science, labor, and research, the summit convened with the goal of developing a set of guiding principles to deliver to the upcoming national political conventions. View complete video footage from the event, including President Bill Clinton, Citigroup's Robert Rubin, New York Mayor Michael Bloomberg and others at the National Clean Energy Summit website -- link above. Tags: boone clean climate clinton coal energy environment gas global oil pickens podesta reid solar summit unlv vegas wind warming seeprogress gore electricity power china india biofuel fuel mideast arabia |
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Credit Card Debt: Danger in Your Wallet - ASK THE EXPERT http://www.americanprogress.org/issues/2008/09/avoiding_overdrafts.html Has the economic downturn affected Americans' credit card use? Is credit card debt more harmful than other types of debt? Can we protect consumers from falling too deeply into credit card debt? Tim Westrich of the Center for American Progress weighs these questions in the latest installment of CAP's ASK THE EXPERT series. Tags: american amex bank card charge consumer credit debt dollar finance interest bankrupt loan mastercard money progress visa westrich seeprogress progressive |
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The Future of U.S.-Russia Relations - ASK THE EXPERT http://www.americanprogress.org/issues/security Will Russian aggression in Georgia change the way the United States deals with Moscow? Is there a valid comparison between South Ossettia and Kosovo? Can the United States help prevent further aggression between Russia and outlying areas? Spencer Boyer of the Center for American Progress weighs these issues in the latest installment of CAP's ASK THE EXPERT series. Tags: american boyer bush diplomacy europe georgia mevedev moscow nato ossettia progress progressive putin russia spencer war |
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Ryan Gosling & John Prendergast of ENOUGH! - End Genocide & Change History http://www.enoughproject.org/ Actor Ryan Gosling & ENOUGH! Co-Founder John Prendergast discuss how you can get involved and end genocide. ENOUGH was born out of frustration and hope. We ran out of patience with the world's shameful lack of progress in combating terrible horrors. We knew there were many examples of successful conflict resolution processes throughout Africa, but the lessons weren't widely known. We found confidence in the growing number of Americans who are demanding more aggressive, more successful solutions. And we have faith that we can end genocide and crimes against humanity once and for all. We know that people care, but many assume that the crises in Africa and elsewhere are intractable. This inaccurate perception of futility sustains the killing of thousands and destroys the hopes of a safe and secure future for millions more. With every passing minute, the slaughter continues. ENOUGH is a project of the Center for American Progress which aims to answer questions about what is really happening and offer a clear path to sustainable solutions. We were co-founded by CAP and the International Crisis Group in early 2007, setting out to establish a new paradigm for action. We use in-depth knowledge to create clear, viable policy recommendations, and engage activists to apply pressure on the perpetrators and well-meaning governments whose own inertia prevents them from taking the steps necessary to stop genocide and crimes against humanity. We shine a spotlight on policies that work. We aim to change the international conversation by demonstrating that progress is possible, and that rhetoric is meaningless without resolute, committed action. We are focusing currently on the situations in Congo, northern Uganda, Darfur, southern Sudan and the spillover violence in Chad. We aim for real change to close the book on these horrible recurring chapters of human history. Tags: africa chad congo congress darfur enough genocide gosling humanitarian prendergast refugee relief ryan sudan uganda vote actor president bashir |
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Why Do Health Care Costs Soar? - ASK THE EXPERT http://www.americanprogress.org/issues/domestic/healthcare Why does health care cost so much? What is "affordable" health care? And what steps can we take to make health care more affordable? Karen davenport, Director of Health Policy at the Center for American Progress addresses these issues in the latest installment of CAP;s ASK THE EXPERT series. Tags: american credit davenport debt disease doctor drug health insurance medical money nurse prescription progress sick |
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Out of Iraq - How to Redeploy HIGHLIGHTS http://www.americanprogress.org/issues/2008/08/how_to_redeploy.html Iraqi Prime Minister Nuri al-Maliki's recent call for a phased U.S. troop withdrawal presents an opportunity for the United States to reclaim the strategic initiative in Iraq and the Middle East by beginning a responsible redeployment of U.S. troops. Yet there remains significant disagreement and confusion concerning the time necessary to withdraw all U.S. forces from Iraq. On August 11, The Center for American Progress hosted an event to release an updated version of "How to Redeploy: Implementing a Responsible Drawdown of U.S. Forces from Iraq." The report, which takes into account recent developments on the ground, demonstrates that an orderly and safe withdrawal of all U.S. forces is best achieved over an 8- to 10-month period. Tags: afghanistan american arab army baghdad bush cap iraq korb kuwait mideast pentagon progress progressive redeploy war |
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Out of Iraq in One Year - How to Redeploy - by CAP http://www.americanprogress.org/issues/2008/08/how_to_redeploy.html CAP's military experts release a new report outlining how the United States can implement a logistically sound strategic redeployment from Iraq. Dr Lawrence Korb, former assistant Secretary of Defense and Senior Fellow at the Center for American Progress, disputes the claim that US forces cannot withdraw from Iraq in under 2 years. Tags: afghanistan al army bush cap gulf iran iraq korb mccain mideast military oil pentagon redeploy shiite sunni war withdraw bin laden tour enlist congress saudi arab jordan syria turkey |
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China's Pollution Problem & The Olympics http://www.americanprogress.org/issues/energy How severe is China's pollution problem? What is China doing to clean it up? What has China done on climate change? And how can the United States help? Bob Sussman of the Center for American Progress weighs these questions in the latest installment of CAP's ASK THE EXPERT series. Tags: american beijing cap china climate coal energy environment oil olympics pollution progress progressive sussman carbon warming asia |