1st 0p-Ed

D’Chell Crayton
RESEARCH
MMA 301


By D’Chell Crayton
Americans wonder how they will be safe from the financial crisis they are facing today. Many believe they will have to pay higher taxes; others are worried about employment and benefits and many are concerned about home foreclosures.

Taxpayers may have to pay more taxes because of the plan. Since majority of Americans fall under the poverty line, middle and low income, they are the ones paying more taxes. According to the U.S. Bureau of Labor Statistics, African-Americans have the highest rates of unemployment with 11 percent, reaching double digits for the first time in three years. Since this financial bailout was confirmed and signed, many low and middle income African-Americans face hardships including more taxes to pay for the bailout, less jobs, more home foreclosures and no healthcare. Upper class citizens will not have to worry about their taxes rising unless they are under Sen. Obama’s platform, but lower income citizens are the most concerned due to Sen. McCain’s platform not giving them a break at all.

Of course, jobs should be made available to those who have lost jobs considering they are receiving unemployment checks months after job dismissals. As far as healthcare, if many Americans, specifically middle and lower class Americans lose jobs that provided dental and medical benefits, they will no longer receive those benefits due to loss of employment.

President Bush spoke at a presidential summit in Camp David, MD this past Saturday of ways to fix the financial system. “We will work to strengthen and modernize our nations’ financial systems so we can help ensure that this crisis doesn’t happen again,” Bush said. It’s not about if the crisis will happen again, it’s about how we are going to recover it. Bush can implement ideas and plans for now, but our next elected president can figure out how to keep his country out of any future crises. But lately, I feel the Congress and Bush and his administration have concentrated on the wrong things occurring and not taking care of their people.

After reading the Time article about Van Jones and his commitment to a green economy, this could also be a change for African-Americans. As an African-American activist for American minorities, Jones has led a Green for All movement with plans of convincing the working class and minorities that “building a green economy is the opportunity of a lifetime.” A green economy would leave the economy in less turmoil. This can be achieved through energy efficient cars, recycling, taking shorter showers to save water and even using a water filter to purify tap water are all ways to conserve energy. If all citizens worked together to accomplish the green movement, there is a chance the economy could be saved environmentally.
By saving the economy through the environment, citizens are helping reduce worries and issues that the government will have to solve and include for recovery in the ‘bailout rescues’ like they are doing now.

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WALL STREET

D’Chell Crayton
WALL STREET
MMA 301




By D’Chell Crayton
Give $700 billion to bailout Wall Street or unfreeze credit markets’ lending so people can continue to acquire loans and other positives to restore the United States’ economy?

This is just a semi gist of Treasury Secretary Henry Paulson’s bailout plan which could result in more economic turmoil.

After the bailout bill was passed this past Friday with a vote of 263-171, President George Bush said it will take awhile to see results. Since the bill has already been passed and Bush took no time in signing it, what will be the results and impact of the bill? Bush claims results will “take time to show up in the U.S. economy.”

After reading two other proposed bills, I, personally feel that there are plenty other options that could be added to better Paulson’s bill. Although the first proposed bill was declined, it was modified and now accepted, but I feel it could still be a little modified again.

Congressman Peter DeFazio proposed a bill that I see could have positive outcomes. He suggested that the FDIC implement a “Net Worth Certificate Program,” which would require bank examiners to determine the prospects of banks’ survival whereas Paulson’s plan DeFazio also submitted a “No BAILOUTS plan,” with the acronym BAILOUTS meaning “Bringing Accounting, Increased Liquidity, Oversight and Upholding Taxpayer Security.”

Also, while scanning across the “stock-injection plan” it seemed like a good idea as well. This plan would inject capital into ailing firms, allowing the government and taxpayers’ ownership share in firms equal to amount of their investment; this also means they become stockholders and owners of banks.

In agreement with Sen. Barack Obama, taxpayers should receive share gains when the economy recovers since it’s their (our) money in the first place. Taxpayers may have to pay more taxes because of the plan. Of course, jobs should be made available to those who have lost jobs considering they are receiving unemployment checks months after job dismissals. As far as healthcare, if many Americans, specifically middle and lower class Americans lose jobs that provided dental and medical benefits, they will no longer receive those benefits due to loss of employment.

Since 55% of Americans say the government should be responsible for the bailout plan, the help and opinions of others could possibly bring about new ideas for a better, modified plan.

The economy could possibly turn in the right direction if the bill would have been modified with different circumstances. Lending would be restored; more jobs and healthcare would be available. In contrast to Paulson’s plan which would not help housing due to credit availability and jobs would not be available.

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