■phe Pendulum
NEWS
Wednesday, October 8, 2008 / Page 3
Bailout bill approved by House; Bush signs, stocks plummet
Andie Diemer
News Editor
Following President George W.
Bush’s signature on a $700 billion
bailout bill to help keep America’s
economy afloat Friday, the U.S.
financial situation began to envelope
the rest of the world. On Monday, stock
prices plummeted, both nationally
and internationally, causing many to
reevaluate the world’s banking system.
Even though the rescue package bill,
which passed 263-171, was passed in an
effort to protect Americans financially,
it couldn’t combat the snowball effect
of a crumbling economy.
On Monday the Dow Jones Industrial
Average closed below 10,000, which
is the first time it has hit that low in
almost four years. It fell 800 points
before a late rally pushed it down
369.88 points, at 9,955.50. The Dow
first fell to 10,000 on March 16, 1999.
The Federal Reserve announced
Tuesday that they will buy a large
amount of short-term debts to help
resolve America's credit clog. They
are planning to purchase commercial
paper, a short-term mechanism that
will finance day-to-day operations, like
making payrolls.
The Treasury Department set
temporary guidelines for hiring money
managers to oversee the bailout bill
and prevent conflicts from ensuing on
Monday as well, according to CNN.com.
Many analysts said they do not foresee
many dramatic changes in the short
term, though the bill should be more
effective in the long run.
Last week, President Bush said
the $700 billion rescue package will
help restore assurance in America’s
financial system.
It s going to take a while to get in
place a program that, one, is effective
and, two, doesn't waste taxpayers'
money," Bush said. “It's going to take
awhile to restore confidence in the
financial system.”
Since banks are reluctant to
administer loans to one another,
companies and individual consumers,
the rescue package will aim to absorb
bad assets, like troubled mortgage
bonds. This will allow banks to begin
loaning money again.
CNN reported that the Federal
Reserve also took action to keep the
financial crisis from growing out of
control by establishing an additional
$300 billion available to banks in
exchange for damaged assets on
Monday. While this number raises the
amount available to $600 billion, they
said it may continue to expand to $900
billion.
The Federal Reserve also
established short-term loans in an
effort to keep global financing moving.
But all of these efforts combined
didn’t stop depositors from Europe,
Mexico and Brazil from attempting to
escape the stock markets.
The German government officials
announced Sunday they would
backstop all bank deposits after a
German mortgage mender rescue
plan failed, causing the public to infer
economic problems outside of the
United States were much more severe.
Many European exchanges also
Sept. 29 vote:
Bill defeated
Oct. 3 vote:
Bill passed
263
205
171
108
63
140
65
172
133
95
Yea Nay
Republicans
posted some of their worst losses in
history. London's FTSE fell 7.9 percent,
France's CAC-40 index fell 9 percent,
Russia’s stock index fell by 19 percent
before being halted and Germany's
DAX-30 fell 7 percent, CNN said.
Indonesia’s stocks slumped by 10
percent while Asian stocks fell by 5
percent.
In Asheville, N.C., on Monday,
Democratic presidential nominee
Barack Obama called for a new federal
economic stimulus package.
He said Monday's stock market drop
is a “reminder that the rescue package
that was passed last week is not the
end of our efforts to deal with the
economy,” Obama said. “It is just the
Yea
Democrats
Nay
CAROLINE FOX | Graphics Editor
beginning.”
He said a new stimulus would
encompass relief from high gas
and food prices, assistance for both
the local and state governments
to maintain payrolls and extend
unemployment insurance.
While traders shifted capital to
safer outlets, such Treasury bonds and
gold, oil prices actually fell 6.5 percent
from the record high in July to $87.81.
Even though it may take time to
see the economy become stronger,
Bush urged believing in the moves the
government was making.
“One thing people can be certain
of is that the bill I signed is a big step
toward solving this problem,” he said.
Annual anti-abortion rally aims to speak for the voiceless
Keegan Calligar
Rfporter
Local residents lined sidewalks of Church
Street in Burlington Sunday afternoon as part
of an annual anti-abortion protest held across
the nation. Life Chain Is always held on the first
Sunday of October.
Life Chain was started in 1987 by a small
California ministry called Please Let Me Live.
Participants stand on sidewalks for one hour,
holding approved signs denouncing abortion and
avoiding conversation.
Burlington participants held signs reading
“Abortion Kills Children” and “Lord, Forgive Us
and Our Nation,” among other things.
Corinne Pivins of Graham said she participates
in Life Chain to impact others.
“[We] let the community know that abortion
exists, abortion kills children, abortion hurts
women [and] abortion causes social problems,”
she said. “We believe life begins at conception,
that God gives life and only God can take that life
away.”
She added she only votes for pro-life politicians.
Burlington resident Tammy Page said she only
votes for politicians against abortion as well.
“I think it's very important we vote in November,”
Page said. “I think we need to realize this is killing.
This is killing a life. Even though it is not a life we
can see, it’s still a life and we definitely need to keep
that in mind in November when we vote.”
Page said that she agreed with Gov. Sarah Palin,
the Republican vice presidential nominee, who
has said she would not support abortions, even in
cases of rape and incest.
“Irregardless [sic] of how it got there, God
created [the baby],” Page said.
Elaine Goodman, an Elon resident, said abortion
heavily influences her political views.
“It is my number one reason for going to vote,”
she said.
Goodman was accompanied Sunday afternoon by
her six children. She said her children know what
abortion is and are against the practice as well.
“I explain to them as best I can what abortion is,
and they are with me 100 percent,” Goodman said.
“They wanted to be here, too.”
Poll shows Palin exceeded expectations but still lost
Noelle Clemente
Reporter
An informal poll of 230
Elon University students,
faculty and staff conducted by
18 students in the reporting
for the public good class after
the highly anticipated vice
presidential debate showed
Democratic nominee Sen.
Joe Biden to prevail over
Republican nominee Alaska
Gov. Sarah Palin.
The results of the poll show
37 percent declared Biden
the winner and 28 percent
had no comment or did not
watch. Twenty-three percent
supported Palin's performance
and 12 percent viewed it as a
tie.
With the election
approaching in nearly a
tnonth, this debate was
an extremely important
opportunity for these
candidates to not only meet,
but also have their only debate
in the race.
Junior Kristin Riggs said
she didn't think there was a
winner.
“It's just two different
people expressing their
views," Riggs said.
Though both Biden and
alin spent a majority of their
time defending the stances
of their running mates, the
debate did give the audience
the opportunity to see each
of the vice presidential
candidates in action and on
their own terms.
junior Ashley Flanagan
said each candidate won in his
or her own way.
“1 think that Palin had
really low expectations and
she did a good job, seeing
that she had such low
expectations,” Flanagan said.
“But I think most people
would probably say that Biden
won based on his experiences,
but 1 think Palin held it
together.”
Dean of the School of
Communications Paul Parsons
had a similar sentiment.
“I thought it was a victory
by both for their various
purposes,” he said.
He eventually sided with
Biden saying, “I thought that
Joe Biden won the debate.
At the same time I thought
it was a victory for Sarah
Palin, in the sense that she
surpassed expectations. She
showed a feistiness that I
think endeared her to her
constituency.”
Most expert analysts
found Biden to provide more
specific responses while
Palin’s spirited responses
likely gained support of the
Republican base.
A common complaint
during polling was that Palin
was simply skirting the issues.
Senior Chris Briggs said Joe
Biden was the clear winner.
“His answers were just
more coherent and on-topic,"
Briggs said. “Palin tended to
only approach questions she
wanted to answer while Biden
tackled all questions that were
asked.”
Some people, like
junior David Hitch and
Communications Professor
Ocek Eke, said even though
she delivered well, Palin
appeared very coached while y*
Biden thought more on his
feet.
Biden and Palin will not
meet again face to face in
debate. Obama and McCain
will debate again at Belmont
University on Tuesday, Oct. 7.
The poll was conducted
between 11:00 and 11:30 a.m.
Oct. 3 morning and spanned
most areas of campus.
Keegan Calligar, Lesley
Cowie, Andie Diemer, Daniel
“Hobie" Temple and Hannah
Williams also contributed to
this article.
PHOTO COURTESY OF MCT CAMPUS
Twenty-three percent of respondents in an informal poll of Elon
students, faculty and staff said Palin won Thursday’s debate, as
compared to the 37 percent who sided with Biden.