Obama Says Government Not Responsible For "Bad Debts"

By: • Tue, Sep 16 2008, 12:35 AM

In an interview with Bloomberg on Monday night, U.S. presidential candidate Barack Obama said he doesn't think the Federal Reserve has to "do everything."

He said Treasury Secretary Henry Paulson's streamlined rules were a good choice, and that it was "premature" for the U.S. government to buy "bad debts."

He said investors can't expect taxpayers to bail them out.

Obama said the U.S. economy was weak even before this Wall Street crisis, and that employees from Lehman will "land back on their feet."

He said leadership from the White House has been absent.