On Saturday, in response to the ongoing financial crisis, the Bush administration proposed a $700 billion bailout for troubled financial institutions. This comes after the federal government has already spent $900 billion on the rescues of Bear Stearns, Fannie Mae, Freddie Mac and AIG.
Today, MSNBC’s Contessa Brewer asked Tucker Bounds, a spokesman for Sen. John McCain (R-AZ), how McCain plans to pay for the bailouts – and continue the war in Iraq – without raising taxes. Having no answer, Bounds tried to change the subject by asking himself “a better question.” Watch it:
Brewer didn’t let Bounds off the hook, saying “I thought my question was pretty good.” She was quite right to inquire about McCain’s economic proposals, because – before accounting for the bailouts – they result in a budget deficit of $505 billion, which would be the largest deficit in 25 years.
Tacking on the cost of the bailouts, these proposals look even worse, yet McCain continues to insist that he will balance the budget by the end of his first term, without raising taxes.
Facing this untenable position, it’s no wonder Bounds wanted to focus on a “better question.”