[Congressional Record Volume 141, Number 19 (Tuesday, January 31, 1995)]
[House]
[Page H901]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                         DEMISE OF THE BAILOUT?

  (Ms. KAPTUR asked and was given permission to address the House for 1 
minute and to revise and extend her remarks.)
  Ms. KAPTUR. Mr. Speaker, this morning we learned that the Clinton 
administration and Republican leadership here in Congress have 
abandoned their plan to seek congressional approval of $40 billion in 
loan guarantees to Mexico. Workers and taxpayers of America prevailed 
in our first round of debate over the proposed Mexican bailout. But 
President Clinton is scheduled to reveal an alternative plan when he 
addresses the Nation's Governors this afternoon.
  We should watch carefully to ensure that he defends the American 
people against Wall Street speculators. At the same time, the Federal 
Reserve Open Market Committee is meeting right now and is likely to 
raise your interest rates. That is the seventh time over the past year. 
What this means to you is that if you bought a $60,000 home a year ago 
on a 30-year mortgage, your payments today will be about $100 higher 
than they were a year ago.
  Now, why are interest rates rising when inflation has not gone up and 
your wages have not gone up? The reason is because the markets have 
discounted the cost of the $40 billion bailout, and more, that is 
related to NAFTA and Mexico.
  Too much hot money from Wall Street was bet on a gamble in Mexico 
that we are all having to pay for now.

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