Tuesday, July 15, 2008

UpChuck Update

The Wall Street Journal takes UpChuck Schumer to task here for his primary role in the IndyMac failure. It's bad enough that he destroyed the savings of so many depositors and caused unneeded heartache and concern, but he also caused a spate of "which bank will fail next?" stories in the media which could easily lead to more panic which would then feed more panic. This is infuriating stuff and if there was justice in Washington DC he would be held accountable for the damage he has caused and is causing.

The tone of the press reports, if they even bother to report on Schumer's role in the IndyMac failure, is that the whole thing was inevitable. Hardly. The institution was not healthy, but this panic was caused by the intemperate, self-serving remarks of a hack politician.