If the markets go blooey over the lack of a deal, the fact that the bailout had been unpopular will not save the lack of a bailout from being even more unpopular. And Republicans will get the blame – because the media’s already blaming the House GOP, because our guy is in the White House and will get tagged as the new Hoover, because all the political contributions to Democrats in the world, and all the explanations of how bad public policy was at fault, can’t break the Republicans=rich people=free market=Wall Street link in the public mind. And with just five weeks until the elections, that will mean that economic disaster is followed by electoral disaster and quite possibly the end of the free market as we know it at the hands of the winners of that election.
Republicans can grouse about this but we know in our hearts it is true. Failure to act will be political suicide for the GOP. So in the end, it’s not only about putting the nation first, but saving the party’s political hide as well. It’s time for the minority to lead.