They write letters:

To the Speaker of the House of Representatives and the President pro tempore of the Senate:

As economists, we want to express to Congress our great concern for the plan proposed by Treasury Secretary Paulson to deal with the financial crisis. We are well aware of the difficulty of the current financial situation and we agree with the need for bold action to ensure that the financial system continues to function. We see three fatal pitfalls in the currently proposed plan:

1) Its fairness. The plan is a subsidy to investors at taxpayers’ expense. Investors who took risks to earn profits must also bear the losses. Not every business failure carries systemic risk. The government can ensure a well-functioning financial industry, able to make new loans to creditworthy borrowers, without bailing out particular investors and institutions whose choices proved unwise.

2) Its ambiguity. Neither the mission of the new agency nor its oversight are clear. If taxpayers are to buy illiquid and opaque assets from troubled sellers, the terms, occasions, and methods of such purchases must be crystal clear ahead of time and carefully monitored afterwards.

3) Its long-term effects. If the plan is enacted, its effects will be with us for a generation. For all their recent troubles, Americas dynamic and innovative private capital markets have brought the nation unparalleled prosperity. Fundamentally weakening those markets in order to calm short-run disruptions is desperately short-sighted.

For these reasons we ask Congress not to rush, to hold appropriate hearings, and to carefully consider the right course of action, and to wisely determine the future of the financial industry and the U.S. economy for years to come.

Signed (updated 9/24/2008 10:30AM CT)

Acemoglu Daron (Massachussets Institute of Technology)
Adler Michael (Columbia University)
Admati Anat R. (Stanford University)
Alvarez Fernando (University of Chicago)
Andersen Torben (Northwestern University)
Barankay Iwan (University of Pennsylvania)
Barry Brian (University of Chicago)
Beim David (Columbia University)
Berk Jonathan (Stanford University)
Bisin Alberto (New York University)
Bittlingmayer George (University of Kansas)
Boldrin Michele (Washington University)
Brooks Taggert J. (University of Wisconsin)
Brynjolfsson Erik (Massachusetts Institute of Technology)
Buera Francisco J.(UCLA)
Carroll Christopher (Johns Hopkins University)
Cassar Gavin (University of Pennsylvania)
Chaney Thomas (University of Chicago)
Chari Varadarajan V. (University of Minnesota)
Chauvin Keith W. (University of Kansas)
Chintagunta Pradeep K. (University of Chicago)
Christiano Lawrence J. (Northwestern University)
Cochrane John (University of Chicago)
Coleman John (Duke University)
Constantinides George M. (University of Chicago)
Crain Robert (UC Berkeley)
Culp Christopher (University of Chicago)
De Marzo Peter (Stanford University)
Dubé Jean-Pierre H. (University of Chicago)
Edlin Aaron (UC Berkeley)
Eichenbaum Martin (Northwestern University)
Ely Jeffrey (Northwestern University)
Eraslan Hülya K. K.(Johns Hopkins University)
Faulhaber Gerald (University of Pennsylvania)
Feldmann Sven (University of Melbourne)
Fernandez-Villaverde Jesus (University of Pennsylvania)
Fox Jeremy T. (University of Chicago)
Frank Murray Z.(University of Minnesota)
Fuchs William (University of Chicago)
Fudenberg Drew (Harvard University)
Gabaix Xavier (New York University)
Gao Paul (Notre Dame University)
Garicano Luis (University of Chicago)
Gerakos Joseph J. (University of Chicago)
Gibbs Michael (University of Chicago)
Goettler Ron (University of Chicago)
Goldin Claudia (Harvard University)
Gordon Robert J. (Northwestern University)
Guadalupe Maria (Columbia University)
Hagerty Kathleen (Northwestern University)
Hamada Robert S. (University of Chicago)
Hansen Lars (University of Chicago)
Harris Milton (University of Chicago)
Hart Oliver (Harvard University)
Hazlett Thomas W. (George Mason University)
Heaton John (University of Chicago)
Heckman James (University of Chicago - Nobel Laureate)
Henderson David R. (Hoover Institution)
Henisz, Witold (University of Pennsylvania)
Hertzberg Andrew (Columbia University)
Hite Gailen (Columbia University)
Hitsch Günter J. (University of Chicago)
Hodrick Robert J. (Columbia University)
Hopenhayn Hugo (UCLA)
Hurst Erik (University of Chicago)
Imrohoroglu Ayse (University of Southern California)
Israel Ronen (London Business School)
Jaffee Dwight M. (UC Berkeley)
Jagannathan Ravi (Northwestern University)
Jenter Dirk (Stanford University)
Jones Charles M. (Columbia Business School)
Kaboski Joseph P. (Ohio State University)
Kaplan Ethan (Stockholm University)
Karolyi, Andrew (Ohio State University)
Kashyap Anil (University of Chicago)
Keim Donald B (University of Pennsylvania)
Ketkar Suhas L (Vanderbilt University)
Kiesling Lynne (Northwestern University)
Klenow Pete (Stanford University)
Koch Paul (University of Kansas)
Kocherlakota Narayana (University of Minnesota)
Koijen Ralph S.J. (University of Chicago)
Kondo Jiro (Northwestern University)
Korteweg Arthur (Stanford University)
Kortum Samuel (University of Chicago)
Krueger Dirk (University of Pennsylvania)
Ledesma Patricia (Northwestern University)
Lee Lung-fei (Ohio State University)
Leuz Christian (University of Chicago)
Levine David I.(UC Berkeley)
Levine David K.(Washington University)
Linnainmaa Juhani (University of Chicago)
Lucas Robert (University of Chicago - Nobel Laureate)
Luttmer Erzo G.J. (University of Minnesota)
Manski Charles F. (Northwestern University)
Martin Ian (Stanford University)
Mayer Christopher (Columbia University)
Mazzeo Michael (Northwestern University)
McDonald Robert (Northwestern University)
Meadow Scott F. (University of Chicago)
Mehra Rajnish (UC Santa Barbara)
Mian Atif (University of Chicago)
Middlebrook Art (University of Chicago)
Miguel Edward (UC Berkeley)
Miravete Eugenio J. (University of Texas at Austin)
Miron Jeffrey (Harvard University)
Moretti Enrico (UC Berkeley)
Moriguchi Chiaki (Northwestern University)
Moro Andrea (Vanderbilt University)
Morse Adair (University of Chicago)
Mortensen Dale T. (Northwestern University)
Mortimer Julie Holland (Harvard University)
Muralidharan Karthik (UC San Diego)
Nevo Aviv (Northwestern University)
Ohanian Lee (UCLA)
Pagliari Joseph (University of Chicago)
Papanikolaou Dimitris (Northwestern University)
Paul Evans (Ohio State University)
Peltzman Sam (University of Chicago)
Perri Fabrizio (University of Minnesota)
Phelan Christopher (University of Minnesota)
Piazzesi Monika (Stanford University)
Piskorski Tomasz (Columbia University)
Rampini Adriano (Duke University)
Reagan Patricia (Ohio State University)
Reich Michael (UC Berkeley)
Reuben Ernesto (Northwestern University)
Roberts Michael (University of Pennsylvania)
Rogers Michele (Northwestern University)
Rotella Elyce (Indiana University)
Ruud Paul (Vassar College)
Safford Sean (University of Chicago)
Sandbu Martin E. (University of Pennsylvania)
Sapienza Paola (Northwestern University)
Savor Pavel (University of Pennsylvania)
Scharfstein David (Harvard University)
Seim Katja (University of Pennsylvania)
Shang-Jin Wei (Columbia University)
Shimer Robert (University of Chicago)
Shore Stephen H. (Johns Hopkins University)
Siegel Ron (Northwestern University)
Smith David C. (University of Virginia)
Smith Vernon L.(Chapman University- Nobel Laureate)
Sorensen Morten (Columbia University)
Spiegel Matthew (Yale University)
Stevenson Betsey (University of Pennsylvania)
Stokey Nancy (University of Chicago)
Strahan Philip (Boston College)
Strebulaev Ilya (Stanford University)
Sufi Amir (University of Chicago)
Tabarrok Alex (George Mason University)
Taylor Alan M. (UC Davis)
Thompson Tim (Northwestern University)
Tschoegl Adrian E. (University of Pennsylvania)
Uhlig Harald (University of Chicago)
Ulrich, Maxim (Columbia University)
Van Buskirk Andrew (University of Chicago)
Veronesi Pietro (University of Chicago)
Vissing-Jorgensen Annette (Northwestern University)
Wacziarg Romain (UCLA)
Weill Pierre-Olivier (UCLA)
Williamson Samuel H. (Miami University)
Witte Mark (Northwestern University)
Wolfers Justin (University of Pennsylvania)
Woutersen Tiemen (Johns Hopkins University)
Zingales Luigi (University of Chicago)

Some fairly prestigious universities there, although no faculty from Liberty University and no asshat bloggers employee by the University of Tennessee

Iraqi Prime Minister Nouri al Maliki has demanded a firm timetable for withdrawal of US forces from Iraq — without conditions:

Iraqi Prime Minister Nouri Maliki said Monday that an agreement on the future of U.S. forces in Iraq must include a firm withdrawal date and that Iraq wants them out of the country by the end of 2011.

It was the first time Maliki explicitly demanded a fixed deadline for the departure of all U.S. troops from Iraq. His words appeared to rule out the presence of any U.S. military advisors, special forces and air support after the withdrawal date.

Condi Rice was supposed to smooth this over and get Maliki to agree to the condition-based withdrawal and a permanent US presence, but her record for failure continues unblemished.

The hardened position came after last week’s visit by Secretary of State Condoleezza Rice to Iraq, where she met with Maliki in hopes of clearing obstacles to an agreement. But officials familiar with the talks say that the prime minister remains undecided about whether he even wants a deal.

Heckuva job, Condi.

Maliki is demanding full US withdrawal on a schedule because, politically, he has little choice. He made the remarks to a meeting of Shiite tribal leaders. His rival, Muqtada al Sadr, has risen to power largely through confrontation with the US and because his demands for an end to US occupation has been popular with Iraqis. Moreover, Maliki may be forced to demand unconditional withdrawal because Iranian-born Shiite Ayatollah Sistani, Iraq’s religious leader, and Iranian leaders find any continued US presence unacceptable.

He is under pressure from Iran, as well as the grand ayatollahs in Iraq’s Shiite shrine city of Najaf, who could come out against an agreement if they feel it infringes on Iraq’s sovereignty. At a time when he needs political cover, the Supreme Islamic Iraqi Council, the largest Shiite party in his alliance, is also deeply divided on ties with the Americans.

The senior leadership of the Supreme Islamic Iraqi Council (formerly the Supreme Council for Islamic Revolution in Iraq) was harbored by Iran for years while exiled during Saddam’s rule of Iraq. Its militias, the Badr Brigades, were trained and armed by Iran’s Revolutionary Guards, and fought with Iran against Iraq during the Iran-Iraq war. With Sadr’s Mahdi Army dramatically curtailing its operations, it is now the most powerful paramilitary presence in Iraq, and staunchly pro-Iranian.

The Bush administration’s reaction to this new permutation of the Iraq clusterfuck is classic Bush administration: denial.

In Crawford, Texas, White House spokesman Tony Fratto said: “Any decisions on troops will be based on the conditions on the ground in Iraq. That has always been our position. It continues to be our position.

“There is no agreement until there’s an agreement signed,” he added. “There are discussions that continue in Baghdad.”

Last year, Bush stated unequivocally that we would honor a request by Maliki’s government to leave Iraq:

We are there at the invitation of the Iraqi government. This is a sovereign nation. Twelve million people went to the polls to approve a constitution. It’s their government’s choice. If they were to say, leave, we would leave.

~~~

This is a sovereign nation, Martha. We are there at their request. And hopefully the Iraqi government would be wise enough to recognize that without coalition troops, the U.S. troops, that they would endanger their very existence. And it’s why we work very closely with them, to make sure that the realities are such that they wouldn’t make that request — but if they were to make the request, we wouldn’t be there.

Now he’s threatening to hold his breath if he doesn’t get his way, apparently.

Maliki’s government is also intent on disassembling the network of Sunni militia groups which the US put together and which is credited with much of the improvement in security in Anbar and other Sunni inhabited provinces — without the integration of those militias into Iraqi security forces and political reconciliation promised to Sunni tribal leaders by US generals. This will almost certainly spark renewed insurgency among Sunni groups currently armed and paid by the United States — if this fighting occurs next year, Maliki will likely even request US assistance in dispatching his Sunni enemies.

So, after five and a half years, at least $3,000,000,000,000.00, over 35,000 US casualties, and a depleted military force structure, we are left with an Iraq which is more concerned with pleasing neighboring axis-of-evil Iran than with making an increasingly lame George Bush or the United States happy. Ahmed Chalabi and his Iranian handlers couldn’t have planned this any better.

Froomkin is being a little harsh when he takes Bush to task for playing grabass with volleyball players while Russia launches a furious assault on Georgia:

So where was Bush as Russia launched a major military attack against Georgia? Monkeying around with the U.S. women’s volleyball players — and otherwise amusing himself at the Beijing Olympics.

This is not to suggest that Bush should have sent in the Marines. But his impotence in the face of such a gravely destabilizing move highlights not only his personal loss of stature, but how deeply he has diminished American authority on the world stage generally and, particularly, in the eyes of Russia.

While I on the other hand, after nearly 8 years of this shit, am just grateful that Bush isn’t looking like a total fuckstick playing air guitar:

Or like an imbecilic total douchebag heavily into Cosplay with his good friend, Vlad Putin.

At this point we have to take our blessings where we find them.

I mean if we can’t expect him to pay attention and act serious when one of our nation’s largest cities is literally underwater and several states are devastated, why should we expect him to even pretend he gives a flying fuck when some former Soviet republic gets squished like a bug?

Muskrats brought down a levee:

Residents and flood fighters were saddened after a burrowing muskrat brought down the saturated Pin Oak levee shortly before dawn. But within hours, a new defense was in the works — a quickly constructed 4-foot-tall sandbag levee to protect 100 homes in the floodwaters’ path.

“We’re not quitting — the Army doesn’t quit,” said National Guard Col. Michele Melton, who was coordinating the sandbagging effort. “That’s why we’re here — to try and save these people.”

Many of the 720 residents of Winfield and people from surrounding communities have spent the last several days helping the National Guard patch one trouble spot after another.

In the end, their efforts were undone by an animal that weighs no more than 5 pounds. Officials said holes bore by a muskrat that was either seeking food or building a den led brought the levee down.