In Lehman’s terms

U.S. lawmakers have officially signed off on a deal to create a $700 billion government fund to buy bad debt from ailing banks in a bid to stem a credit crisis threatening the global economy.

‘You struggle against adversity to set up a business, you display the entrepreneurial spirit that America cherishes, you create a multibillion dollar organisation, you cook the books, someone finds out, it all goes through the floor – so your Government bails you out and you start again,’ said U.S Treasury Secretary Henry Paulson.

‘The United States has never believed in a heartless, dog eat dog society,’ he added.

Speaker Pelosi hopes the deal will help put last week's ‘white-knuckle volatility’ behind.

‘What America needs now is a small-scale terrorist attack to distract us, to unite us, to give us back our confidence,’ said President Bush.