Palin urges action to reform Wall Street

Republican vice presidential candidate Sarah Palin said Wednesday that the U.S. could be headed for another Great Depression if Congress doesn't act on the financial crisis.

Palin made the comment in an interview with CBS News anchorwoman Katie Couric while visiting New York to meet foreign leaders for the first time in her political career. As Palin sought to establish her credentials in world affairs, first lady Laura Bush said that Palin lacked sufficient foreign policy experience but was “a quick study.”

Recent surveys have shown that Palin's popularity, while still strong, has begun to fade.

The CBS interview was just her third major interview in nearly four weeks on the GOP presidential ticket. Asked whether there's a risk of another Great Depression if Congress doesn't approve a $700billion bailout package, Palin said, “Unfortunately, that is the road that America may find itself on.”

Palin said the answer to the financial crisis doesn't necessarily have to be the bailout plan that the Bush administration has proposed, but that it should be some form of bipartisan action to reform Wall Street.

“I'm ill about the position that America is in and that we have to look at a $700 billion bailout. At the same time we know that inaction is not an option, and as Senator McCain has said unless this nearly trillion-dollar bailout is what it may end up to be, unless there are amendments in Paulson's proposal, really I don't believe that Americans are going to support this and we will not support this,” Palin said in the interview.

Couric pressed Palin on examples of how John McCain, a 26-year congressional veteran, had led the charge for more oversight.

The Alaska governor cited McCain's warnings about Fannie Mae and Freddie Mac two years ago, as well as his image as a maverick. Questioned again for examples, and reminded that McCain had been chairman of the Commerce Committee, Palin said, “I'll try to find you some, and I'll bring them to you.”