September 29th, 2008
02:11 PM ET
12 years ago

House kills $700 billion bailout plan

The House of Representatives rejected the bailout plan Monday. Watch live coverage on

The House of Representatives rejected the bailout plan Monday. Watch live coverage on

WASHINGTON (CNN) - The House of Representatives Monday rejected a $700 billion plan to bail out the financial system, putting a roadblock in front of the largest government intervention in the market since the Great Depression.

Watch: GOP blames Pelosi

Republicans and Democrats blamed each other for the failure of the bill, which President Bush had urged Congress to approve.

Watch: GOP 'punished the country'

It was intended to reassure financial markets by giving the government the power to buy "illiquid assets" such as bad mortgages.

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Filed under: Congress
soundoff (405 Responses)
  1. Sue

    Does anyone besides me think this financial disaster has all been contrived by Bushies Big Business Buffoons to panic the nation then provide their candidates with the appropriate "insider" information to "fix" their contrived failure at just the right moment to win the election?

    September 29, 2008 02:48 pm at 2:48 pm |
  2. Lance

    Socialism for the rich, capitolism for the poor.

    Unless the market is good, in which case, give the rich a tax break.

    Oh, and even if the market is bad and has to rely on socialism to recover, give the rich a tax break anyway.

    That's the legacy that George W. Bush and John McCain want to leave America.

    September 29, 2008 02:48 pm at 2:48 pm |
  3. Barney

    Go to CSPAN – they show the number of votes – MOST reps. voted NO

    September 29, 2008 02:48 pm at 2:48 pm |
  4. alex

    The repubs think they are doing a good thing but in the end we will all suffer!

    September 29, 2008 02:48 pm at 2:48 pm |
  5. Cleavette

    We are in BIG trouble when the advice of Warren Buffett is ignored. All of the BUMS in washington should be thrown out. The irony of the situation is that WWII got us out of the Great Depression and the Iraq war has gotten us into this one.....Shame on Bush, McCain and the repubs for "The Great Depression #2"

    September 29, 2008 02:48 pm at 2:48 pm |
  6. Andrew

    Well I guess we need the man that does not understand economics to fly in and save the day. Maybe we can bring his smooth talking sidekick that does not have any answers but will get back to you with them. Thanks Conservatives.

    September 29, 2008 02:48 pm at 2:48 pm |
  7. Xavier, Saint Louis, Missouri

    Thanks to Bush, McCain and the GOP, our economy is in bad shape! How can anyones possibly vote Republican?!


    September 29, 2008 02:48 pm at 2:48 pm |
  8. Vincent , Conroe,TX

    Today is a great day for democracy. With the house defeat of the bailout bill, it shows 'We the People' still rule. I am not an economist and don't know what will happen, but neither can a majority of experts say what will happen either. To shun debate for expedience and fear mongering is the calling card for this complete failure of an administration. Some experts said not to rush into this, and there are possibly other options to fix the problem without costing the taxpayers 700 Billion. The congress now can take its time and do this properly, listening to all options and proceeding...or they can just go back on vacation.

    September 29, 2008 02:49 pm at 2:49 pm |
  9. arnold

    Worse thing to do is put another Democrat at the top of the worst Democratic controlled congress this country has ever had. And he's not even a Democrat, worse yet, a liberal socialist.

    September 29, 2008 02:49 pm at 2:49 pm |
  10. HMcGee

    I swear I've lost of all respect for the Republicans including John McCain, who I used to kind of like. Every time something goes wrong, they spend all of their time pointing fingers at the Democrats. The house leaders are on CNN now blaming Nancy Pelosi's speech for their own inability to get legislation through. They are saying that it changed some of their votes. Are they really so weak and petty that a speech will keep them from doing what they thought was the right thing to do before they heard that speech? In the workplace of the average American, results are expected and shifting the blame to others is a recipe for termination. These people need cut the **** and do their jobs.

    September 29, 2008 02:49 pm at 2:49 pm |
  11. Glitch

    @Greg, San Francisco, CA:

    This mess was caused by measures enacted under Clinton and his HUD director, not "house republicans"

    September 29, 2008 02:49 pm at 2:49 pm |
  12. Get Real

    Einstein Wrote=

    'Problems can not be solved by the same level of thinking that created them'!

    So...why do we need change....Bush/McCain/Poulson/Republican Wealth created this mess with deregulation 9i.e. – no oversite or accountability)so why would that mindset not be in a position to solve this crisis.....

    September 29, 2008 02:49 pm at 2:49 pm |
  13. Dale, Kentucky

    "WE THE PEOPLE....." do not want to bail out the Wall Street gang.
    Let them pay the price for their own mess.
    We may suffer a bit now.....But My kids won't have to pay for it!

    September 29, 2008 02:49 pm at 2:49 pm |
  14. Obama/Biden '08, '12

    As is, the bill does nothing much to curb Golden Parachutes or limit executive pay. A large chunk of the money will go to foreign banks, which American taxpayers may never see again. I don't want to bail out rich, greedy people. That is not "Country First" – that's "Rich People Today, Tomorrow, and Always."

    No Thank You.

    The bill is better than Paulson first presented, but it's still a giveaway to greed. Make the wealthy pay for it.

    September 29, 2008 02:49 pm at 2:49 pm |
  15. Here we go . . .

    I had to laugh at this outcome. I don't know if I should be happy or sad.

    I am sad because I don't really see any hope of recovery and I am afraid we are all going to have to hit rock bottom before things get better.

    I am happy, because if I have to shell out $700 Billion I am screwed and the crooks are A OK. But now we are both equally screwed.

    YEE HAW. I am ok with losing my 20K in Stock so long as the fat CEO's lose their billions.

    September 29, 2008 02:49 pm at 2:49 pm |
  16. marianna

    NO BAILOUT – that's a very good news – that means some of the reps have some decency left – I want NONE of my tax dollars used to pay fat cats' bonuses or otherwise support unresponsible borrowers and other crooks.

    A referendum on bailout on Nov.4

    who wants bailout – vote Dems

    who does not – vote Repubs

    September 29, 2008 02:49 pm at 2:49 pm |
  17. Tired Elephant

    Let's not be so fast to dump all this on the GOP. What about those Democrats such as Peter Welch of VT, who did so? The fact is that too many of the "no" votes caved to pressure from home.

    No the bill isn't perfect and I don't like some parts of it, but drying up such things as student loans and much else solves nothing.

    Remember in November, regardless of party.

    September 29, 2008 02:49 pm at 2:49 pm |
  18. Roaddog

    I don't think even OB has a plan. That was evident in the debate.

    September 29, 2008 02:49 pm at 2:49 pm |
  19. Pooh in Texas

    The Smart Guys within the failed companies should never have been issuing out mortgages to people who obviously could only afford to get in the homes but not stay "pay" in the homes. Getting in with no money or low down payments and not a shred of evidence to show future payment stability. This is what has caused the majority of this fiasco. Let the big wigs of all these companies fork back over those millions in bonuses to fix this !!

    September 29, 2008 02:49 pm at 2:49 pm |
  20. tammy

    go go mccain!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

    September 29, 2008 02:49 pm at 2:49 pm |
  21. ts

    Chrissy you are right!!!!!! Why don't they give the money to the working taxpayer so we can build up the economy. We shouldn't bailout the rich folks. Did they think about the american taxpayer before this happen NO!!!!!!!!!!!!!!!!!!!!!!!! so why should we think about them. If everyone in Washington really care about the americans they should just give us the money so we can pay off our debt.

    September 29, 2008 02:49 pm at 2:49 pm |
  22. Truth

    Demo's bomb bill so o'boomba can do blame game again... funny how it failed because of Pelosi's blast-speech and Obomba was on the TV in the next minute to try to be the first to blame someone else

    September 29, 2008 02:49 pm at 2:49 pm |
  23. Here we go . . .

    Anyone else feel like they are at the very tippy top of a roller coaster about to plung?

    September 29, 2008 02:49 pm at 2:49 pm |
  24. Darko

    Survival of the fittest at its finest.

    Darwin was right about something!

    September 29, 2008 02:49 pm at 2:49 pm |
  25. Robinson

    The government should save a few big fish, and then give 20,000dollars to the average home-owner and business owner putting money back directly into the economy to give instant growth. This is the biggest crime in American history to permit unethical business behavior without a reasonable explanation on how these people got THEMSELVES into this mess, and yet no one will every mention helping the average citizen. I am ashamed of my party and will be voting for Obama.

    September 29, 2008 02:50 pm at 2:50 pm |
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