Salar posted on September 25, 2008 07:28
“The president believes it is important for the American people to fully understand the depths of the crisis affecting our country, how that affects them,” Dana Perino, the president’s chief spokeswoman, said. Mr. Bush will speak from the White House at 9 p.m. for 12 to 14 minutes, Ms. Perino said.
Meanwhile, Treasury Secretary Henry M. Paulson Jr. had agreed to demands from lawmakers in both parties to limit the pay of executives whose companies benefit from the bailout. The enormous pay packages of some Wall Street executives, coupled with the realization among nonwealthy Americans that the crisis could affect their financial foundations, have created an incendiary issue on Capitol Hill.
The flagging state of the markets compelled John McCain, the Republican candidate for president, to announce a suspension of his campaign, and to ask for a postponement of Friday night’s scheduled debate with Barack Obama, his Democratic opponent.
But Democratic rival Barack Obama said it was "more important than ever" for US citizens to hear from the person who would soon be "dealing with this mess".
“The American people are angry about executive compensation, and rightfully so,” Mr. Paulson told the House Financial Services Committee. “Many of you cite this as a serious problem, and I agree. We must find a way to address this in legislation without undermining the effectiveness of the program.”
Ben Bernanke, Federal Reserve chairman, told Congress he was “not advocating that the government intentionally overpay for these assets” and said turmoil in the markets could lead to greater economic pain. New data showed existing home prices suffered a record drop in August.
“The intensification of financial stress in recent weeks, which will make lenders still more cautious about extending credit to households and business, could prove a significant further drag on growth,” he said.