Blog Buzz: New $800 Billion Bailout to Help Consumers, Barack Obama's Administration Praised, Freedom's Watch May Go Out of Business

The Fed will spend $800 billion to unfreeze consumer credit; praise for Obama's economic team.


Our daily look at stories and topics that are lighting up the Internets:

Bailouts for Everyone!

The Federal Reserve announced today a new $800 billion spending program aimed at unfreezing credit for home buyers, consumers, and small businesses that has bloggers asking, "What the hell?" and criticizing the "borrow-spend-panic" binge that the government is on. At the Atlantic, Andrew Sullivan wonders if we don't deserve to "feel the full impact of the massive fiscal recklessness of the past decade," and Megan McCardle explains why Henry Paulson "can't get it right." A TPM blogger discusses the need for more oversight of the Federal Reserve lending, and National Review Online puts the bailout in historical perspective. (It's not pretty.)

The Obama Administration Lovefest

Liberal bloggers praise the newly announced members of Obama's budget team, including Peter Orszag, as "pretty impressive folks." They're also fans of the candidates for his healthcare policy team, those chosen for his economic team, and Rahm Emanuel (who is apparently liked even by Republicans). As far as the State Department goes, however, Arianna Huffington warns that Hillary Clinton has turned Obama into "Mo' Drama Obama." And Ezra Klein reminds everyone that at the start, the Bush administration looked promising, too.

Conservative Activist Group Is Probably a Goner

More bad news for the GOP: Freedom's Watch, a far-right advocacy group, appears to be kaput. A liberal blogger says it has to be "one of the more humiliating fiascos in recent history for the conservative movement." The GOP is also struggling in terms of its online presence, and Political Animal explains why conservative bloggers don't measure up to the "netroots." In other GOP news, the fight for Republican National Committee chairman continues.