Mike Johanns

I could see the frown grow on your face as I asked this question, and I understand, but if we do not figure this out you are going to need a gigantic amount of capital to protect these 25 intuitions.

It brought in a large part to the brink of financial collapse. And today, somehow, someway, we have got to explain to the American taxpayer why it is worthwhile to invest in that to save that system.

I think it gave us a bubble. It certainly gave us a burst of economic activity for a little while.

We are describing a level of taxpayer support that also is just really unprecedented.

Your testimony today is probably unprecedented... a level of government involvement in the financial institution that we have maybe never seen before.

If we don't figure this piece out, the mechanism won't make a bit of difference.

You don't have to respond, Doctor. You are----

I wish more of it would go building bridges instead of financial markets.

It seems to me that there are two really, really important things that really have led in a substantial way to this financial crisis.

There was a point in time where someone was compensated based upon the quality of the loan that they wrote.

But to me, that seems to be an important element as we think about what we want to do with the regulatory system.

I think over time it is hard to sustain that. Why? Just simply because one country is going to look at this and, you know, when things stabilize--and hopefully they will stabilize--that country is going to say, you know, we could get more…

The VA is a treasure. We want to protect that, enhance it and do everything we can to improve it.

Mr. Chairman, thank you. And thanks for your testimony. I appreciate it.

I see this hearing as that same sort of opportunity: an opportunity for me to listen; to think about the priorities as you identify them.

It is an honor to serve with this group and think about the needs of our veterans and how we meet those needs.

That is good. It is good they have engaged now.

As a very, very junior Member of this Committee, I am going to pay very close attention to this investigation and there will be a day where the investigation is done where I will ask these questions again.

I want to know did the General Counsel engage.

I would have the Inspector General in my office.

If this is the course of conduct over a period of time with the SEC and whoever else is involved in this, how can you ensure to me and to investors out there that the light bulb is finally on and you are paying attention, that they are…

I must admit I sit here in amazement at what you are saying.

I encourage you to work on this because you know as well as I do that delay feels like unfairness.

I think everybody on this Committee has heard from veterans about the painfully slow claims process and trying to get through that.

I really urge you do to that. When I was a Cabinet member, we worked on avian influenza, and the conclusion I reached is: this is just a matter of time.