President Bush said some very nice things about the Federal Reserve’s rescue, once removed, of Bear Stearns, the wobbly investment bank.
“… We’ve taken strong and decisive action,” Bush said. “The Federal Reserve has moved quickly to bring order to financial markets. Secretary (Henry) Paulson is supportive of that action, as am I,” said Bush, referring to the Treasury Secretary.
Not everyone is joining Bush in singing the Fed’s praises. Some say the central bank’s actions violate notions of fairness. Why is a large investment bank rescued while homeowners are left to the rough justice of foreclosure and bankruptcy?