Fight disinformation: Sign up for the free Mother Jones Daily newsletter and follow the news that matters.


PAULSON’S RECORD….Ezra Klein has an eminently fair and nonshrill critique here of Henry Paulson’s handling of the ongoing credit crisis. I’ll just add one thing. Paulson’s reluctance to push the trigger on capital infusions for banks is understandable, even if it was wrong, but his resistance to having even the power to recapitalize banks is genuinely weird. After all, before the latest phase of the crisis hit, Paulson and Bernanke had spent months urging banks to raise private capital to weather the storm. Both men knew perfectly well that bank capitalization was an issue. And before he introduced his version of the bailout bill, Paulson had twice previously bowed to reality on government takeovers and recapitalizations, first in the case of Fannie and Freddie, and second in the case of AIG.

Given all this, his continuing resistance to the idea is difficult to fathom. His caution can perhaps be written off to background and ideology, but not his flat rejection of even being given the authority. I’m not sure what the explanation is.

DONALD TRUMP & DEMOCRACY

Mother Jones was founded to do things differently in the aftermath of a political crisis: Watergate. We stand for justice and democracy. We reject false equivalence. We go after, and go deep on, stories others don’t. And we’re a nonprofit newsroom because we knew corporations and billionaires would never fund the journalism we do. Our reporting makes a difference in policies and people’s lives changed.

And we need your support like never before to vigorously fight back against the existential threats American democracy and journalism face. We’re running behind our online fundraising targets and urgently need all hands on deck right now. We can’t afford to come up short—we have no cushion; we leave it all on the field.

Please help with a donation today if you can—even just a few bucks helps. Not ready to donate but interested in our work? Sign up for our Daily newsletter to stay well-informed—and see what makes our people-powered, not profit-driven, journalism special.

payment methods

DONALD TRUMP & DEMOCRACY

Mother Jones was founded to do things differently in the aftermath of a political crisis: Watergate. We stand for justice and democracy. We reject false equivalence. We go after, and go deep on, stories others don’t. And we’re a nonprofit newsroom because we knew corporations and billionaires would never fund the journalism we do. Our reporting makes a difference in policies and people’s lives changed.

And we need your support like never before to vigorously fight back against the existential threats American democracy and journalism face. We’re running behind our online fundraising targets and urgently need all hands on deck right now. We can’t afford to come up short—we have no cushion; we leave it all on the field.

Please help with a donation today if you can—even just a few bucks helps. Not ready to donate but interested in our work? Sign up for our Daily newsletter to stay well-informed—and see what makes our people-powered, not profit-driven, journalism special.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate