The U.S. Congrees has passed the financial bailout bill (Washington Post – House Approves $700B Financial Rescue Package):
In a dramatic reversal, the House today approved by a comfortable margin a $700 billion financial rescue package that will bring the greatest intervention of the federal government into the private marketplace since the Great Depression, attempting to prevent the economy from sliding into a deep recession. Just four days after the bill's initial demise sparked a free fall on Wall Street, the House approved the legislation 263-171. At 1:23 p.m., the measure cleared a majority of votes, and the chamber broke out in applause.
With the House approval following the Senate passage President Bush then signed the bill into law. We are now in the post-credit crisis era, but what now? Here is a very balanced report from BBC News about the role of the U.S. in the post-credit crisis world. From the headline you may think it's all negative, and to be sure, they do paint a somber picture of a U.S. stretched to the limit, both militarily and financially, but they also close with a note of optimism about the resiliency of the U.S. economic system. Let's hope they are right.
