Despite an unprecedented White House meeting between Senator McCain and Senators Obama the Republicans and Democrats failed to reach an agreement on a rescue package for the American banking system. Both sides claimed that an agreement would be reached in the near future.
September 24, 2008
Senator McCain called off his campaign temporarily to deal with the economic crisis and retutn to Washington. McCain and Senator Obama are working together to issue a joint statement in support of a bail-out bill. Obama has in the meantime stated that he would not suspend his campaign.
September 21, 2008
The US Congress has begun to negotiate with the Bush administration on the details of the massive economic resucue plan. The plan calls for spending up to $700 Billion to buy assests of questionable value from US banks and other companies.
September 12, 2008
The United States commemorated the anniversary of the 9/11. Senator Obama and McCain put aside politics for the day and laid joint wreaths at ground zero in New York, the former site of the Twin Towers.
September 11, 2008
President Bush approved secret orders in July that has allowed US military forces to attack Taliban and Al Queda targets in Pakistan. The decision marks a major turning point in US relations with Pakistan. Until now the US has refrained from attacking targets in Pakistan, instead leaving it to the Pakistan army to police the border region.
September 8, 2008
Russian has agreed to pull all of its forces out of Georgia within a month. The pledge came after a visit to Moscow by French President Sarkozy. Russia had previously promised to withdraw, so today's pledge has been met with some skepticism
September 7, 2008
The United States government announced that it was taing over the two mortgage giants Fannie Mae and Freddie Mac. The two companies were private but operated with the implied guarantee of the US government. The rapid decline in housing prices has made them insolvent(unable to pay their bills). Because they are responsible for a very large percent of the mortgage market in the United States the federal government felt it was not possible to allow the companies to fail. The take-over will cost the federal government billions of dollars. Treasury Plan
