Bailout v 2.0 (UPDATED)

The Senate has passed the amended bailout package which raised FDIC insurance from $100,000 to $250,000 on covered accounts, and provided tax cuts for individuals and businesses.

If the House passes the bill, that means that in combination with Pelosi's last-minute, pork-laden, no-review, $630 billion emergency spending bill, we'll get tax cuts (lowered revenue) and spending increases.

I'm generally in favor of tax cuts, and I realize that lowering taxes spurs the economy, but I thought the real problem was liquidity in capital markets, not economic growth or job creation. How will cutting taxes and increasing spending help the economy?

Rather than providing leadership, it looks like the Washington insiders have just been playing more of the usual quid pro quo.


UPDATE: Heh. Taxpayers for Common Sense has the goods on the all the goodies in the bailout package. Boy, it's a good thing we didn't rush into the first bailout plan, because we would have been shortchanging $150 billion in crucial economic help for wooden arrow manufacturers, Hollywood movie studios, car racing tracks, Caribbean rum distillers, and bicycle commuters (among others).

Good work, guys!