Chuck Schummer is right. Once again George Bush is behaving like a Democrat.
At each critical turn in his administration, Bush has turned to his neocon advisors who argue for a bigger and badder government. Bush handled the fallout from the Dotcom bust by giving tax breaks with no decrease in spending (a neocon ideal). Bush turned against the Powell Doctrine and the Constitutional demand to declare war in the invasion of Iraq.
The No Child Left Behind Act has done more to undermine the long held Republican belief in Federalism than perhaps any education policy in history.
Bill Clinton, of course, played the game in the other direction. He surrendered ground on a large number of Democrat issues to maintain power.
Bush is definitely in line with the democratic strategy. The Democrat strategy is to set the ends against the middle.
By creating a special class of mortgage (finance links) holders with a low rate, government secured loans, Bush has just created a situation where the people with the inside connections to get the special loans will be able to force the working poor out of the housing market.
Keeping with the Democratic Theme of playing the ends off the middle, the primary beneficiary of this bailout is the class of extremely rich bankers who have substantially more to lose in the subprime lending bubble than the poor schmuck who could just walk away from a bad debt a little poorer, but wiser. The platitudes of power politics bubble about all the empowered elite do to help the poor. Oddly, the actions seem to do more to secure the positions of the empowered elite.
BTW, the secret to pulling people out of poverty isn't in giving people more loans, or securing loans, or in regulating interest rates on loans. The secret to pulling people out of poverty is to create a financial structure that helps people build wealth.
Schumer is completely right. This program that helps preserve the financial fortunes of a wealthy banking class by creating a special class of mortgages is very Democratic. It is so very Democratic.