If the House Republicans won't vote for the Paulson-Dodd-Frank plan, then the Democrats should not either. They should write the best bill possible--which I think is the Swedish model--pass it, and send it to Bush to sign.
Josh Micah Marshall wants to know what Paul Krugman thinks of this plan:
Talking Points Memo | Is Nationalization The Answer?: Brad DeLong says it's a better option than the Paulson model bailout. (And it did seem to work out pretty well for the Swedes when they got into a somewhat similar situation.) I'm curious what Krugman thinks.