OK, that's it! For the first time since November 4, I refuse to kiss his picture before I go to bed tonight!

That'll teach him!

As much as I hate these huge bonuses (for good or bad work), I don't understand how the government can tax a specific group that made over $250,000 bonus and not other people that made over $250,000?

Seems like a supreme court case to me.

Perhaps it would help to read the bill?

Josh seems to be in high "Drudgeon" lately. "Mortifying impotence"? Geezus, man. I agree this whole episode sucks on many levels, but really.

Well, for every victory at Trenton, there's the march of British troops into Philadelphia.

This was not a sweet week for Obama. Events got ahead of him, and water washed over the gunrails at times. He seemed reactive, not proactive, and it reminded me of the Saturday, Sunday, and Monday after the Reverend Wright shit hit the fan.

Which, I note, was also supposed to politically end Obama, but did not.

I have had my beefs with this site and others, not so much for the outrage at the AIG mess, but for the easy blame we now dispense at times of incredibly complex problems at the feet of those who are apparently (but perhaps imperfectly) trying to clean up what is a financial Superfund-type mess. "Deep Thought: Volcker?" Disappointing.

I expect progressives and progressive blogs to be a bit more reasoned in their analysis, but everyone went to the pitchforks on this one (except Al Giordano).

And that includes this site. Which is too bad.

But hey, no one's perfect.

I'm certain that the founders would be horrified by shit like this - ie, using the tax code to punish a select group of individuals. No matter how you slice it, that's what this is. I would have rather Obama defended Geithner's reasons for asking Dodd to moderate his amendment and then re-focused the American people on the real reasons behind our economic mess. But I guess it was easier for all parties to get behind this reactionary, populist BS. O well. Vengeance is served, even though this will do nothing to solve any of our problems. I hope that Obama continues to focus on the bigger issues - let Congress waste their time on silliness like this. Perhaps the anger this episode generated towards Wall St. will help to remove the fears Obama seems to have around putting some of these insolvent institutions into receivership. And let's get Timmy some staff to work with already!

Supposedly on Leno tonight Obama really steps in it while trying to be funny. When Leno asks about his bowling and if he's getting better, Obala remarks he's getting 128 and says "I know that's like the Special Olympics" (or something to that effect).

Dear Senator ___________ :

I'm writing about the outrage about AIG "bonuses" and the House bill just passed today. This is a bogus issue, it is a red herring (Spitzer and others agree with me).

I consider myself a progressive. But I urge you strongly to reject any similar Senate bill which might be put forth. This way is not the right way forward.

The House bill represents lynch mob politics. Do your job as a Senator as envisioned by the Founding Fathers. Keep such a bill from going to President Obama.

Find another way to keep big companies in line and keep the public in favor of the new direction in America.

Sincerely,

[me]

Despite the loud cries of the anti-tax crowd, the purpose of this bill is not to punish individuals. The purpose is to recoup public funds that are not being used for their intended purpose.

Remember, we are talking about zombie institutions here. (If the $5 billion isn't high enough to exclude all but the zombies, then that should be changed.) These employees would be getting only pennies on the dollar on even their basic wages if not for the government intervention. The government is giving them their salary, their benefits and even bonuses within reason. It's ludicrous to say that the government is punishing them because it doesn't want to also give them further bonuses when their salary exceeds $250,000.

The government is providing these individuals with an enormous benefit at taxpayer expense. Calling that a punishment simply because the government recouped some funds from them through taxation elevates form over function.

One TPM reader weighs in: "I'd much rather see TPM and others try to get their arms around the bigger issues... bring clarity to them, and help us all understand. It might make it more bearable and begin a constructive discussion on to how to fix our failed financial system."

In the current editions of Harpers Mag and the Washington Monthly, there are fantastical perspectives put forth on the rise of usury over the past thirty years as well as a very fine, Krugmanesque analysis by James Galbraith (the latter published in the Monthly). Very interesting is what JG has to say re. predictions of Argentine-like inflation. How can inflation take hold in the face of massive deflation in the value of housing, individual's net-worth and massive illiquidity and fear of spending?

Individual comments defending the administration have the scent of rationalization and self deception. Obama's biggest mistake so far is his penchant for playing ball, assembling his team of big boys and insiders and his striking aspect of timidity. This, at a particular time in history when just the opposite is (was) required.

Go and read Galbraith's piece. And the immediate conclusion you'll have is that there is far too much timidity in the White House.
He offers a fine and detailed dissection of the current state of affairs.