Short and to the point
Saturday, 20. September 2008, 17:01:10
The document proposing the largest financial bailout in U.S. history is refreshing concise. You can read it here.
It gives the Secretary of The Treasury enormous power:
but the taxpayer is considered:
Note that the taxpayer is #2 on that list
And an awful lot of zeros are postulated:
As we well know, any amount set in a government document is usually only a starting point, and I am sure this will balloon as well.
Oh well. A pretty mess we are in.
It gives the Secretary of The Treasury enormous power:
(a) Authority to Purchase.--The Secretary is authorized to purchase, and to make and fund commitments to purchase, on such terms and conditions as determined by the Secretary, mortgage-related assets from any financial institution having its headquarters in the United States.
but the taxpayer is considered:
In exercising the authorities granted in this Act, the Secretary shall take into consideration means for--
(1) providing stability or preventing disruption to the financial markets or banking system; and
(2) protecting the taxpayer.
Note that the taxpayer is #2 on that list
And an awful lot of zeros are postulated:
Sec. 6. Maximum Amount of Authorized Purchases.
The Secretary's authority to purchase mortgage-related assets under this Act shall be limited to $700,000,000,000 outstanding at any one time
As we well know, any amount set in a government document is usually only a starting point, and I am sure this will balloon as well.
Oh well. A pretty mess we are in.
WIDGETIZE
Edward Piercy # 20. September 2008, 19:13
And BTW, I watched The McLaughlin Report on PBS last night. And for the first time that I can remember everybody in the group was literally SCREAMING at each other.
Things seem to be a little tense. Maybe the government should take part of that money and start passing out the Xanax.
Richard # 20. September 2008, 19:32
People are freaking over this. We're talking about the cost of the Iraq War pretty much in one fell swoop. And they tell us they can't afford universal health care...
As long as China, India, Japan & Europe keep investing in the U.S. it'll probably all be fine. The ultimate cost will paradoxically end up being a lot less. But the giddy days (what giddy days, you ask - and so do I) are gone for those who creamed our wealth from us.
Edward Piercy # 20. September 2008, 19:39
I hope this doesn't effect the ordinary person/consumer too much; but I fear it will.
Brian # 20. September 2008, 23:18
Big tax rises after the election
Matthew # 20. September 2008, 23:58
Inflation seems imminent, and is a very frightening prospect.
Angeliki # 21. September 2008, 03:55
I hope they hold back the sleeping pills orders...
they over dosed many Americans for eight long years
a great post Richard,
thanks for sharing