Under Obama $700B TARP to cost less than $70B

[Mugsy]

Run time: 01:24 https://www.youtube.com/watch?v=ppvEgq30WVU   Posted on YouTube: October 04, 2010 By YouTube Member: BI30 Views on YouTube: 1   Posted on DU: October 04, 2010 By DU Member: Mugsy Views on DU: 1332

 
As of tonight (Sunday, 10/3), Bush's $700 BILLION dollar TARP bailout program comes to an end.

In October of 2008, President George W. Bush passed the $700 BILLION dollar "Troubled Asset Relief Program" (TARP) to rescue an economy on the brink of collapse.

In less than two years under a Democratic president with Democratic Congress, the economy recovered to the point where LESS THAN ONE TENTH of the appropriated TARP funds needed to be spent, and the program may even turn a profit.

[bjobotts]

1. Thanks for posting that. Loved your comments/stats under the video. Thanks.

[Historic NY]

2. I wonder if the morning papers will even make mention.

[stray cat]

4. Detailed in ny times days ago -but you have to read the newspaper to see it

DU is actually late although the ny times showing it would be much less than anticipated and maybe break even for taxpayers was posted on DU last week

[doc03]

3. Ok then, Where the hell did the $630 billion go? We were

supposed to have a deficit of like $1.3 trillion this year shouldn't it be something like $670 billion now?

[Mugsy]

5. "Recoupment"

You're gonna love this.

Under a procedural trick known as "recoupment" (iirc), they were able to put off the cost of TARP for FIVE YEARS (2013), at which point, all remaining cost would be added to the Debt. So the cost of TARP isn't included in the current National Debt figure.

Don't ask me to explain because I can't. :)

[doc03]

6. Wow only in DC I mean really the teabaggers are nuts

but on some points I can agree with them.

[defendandprotect]

7. Whopee ... now on to MEDICARE FOR ALL... and later, cutting MIC budget in half ... !!

[dotymed]

8. And Good Paying Jobs

with Good Benefits. Even if the multi-million $$ CEO bonuses have to go..not be reduced, but put that money where it belongs, Good Jobs for America.

[SemperEadem]

9. that "anger" meme is bullshit, dude.

http://www.newsweek.com/2010/10/01/newsweek-poll-anger-unlikely-to-be-deciding-factor-in-midterms.html

Those knuckleheads aren't in this because they're mad at big government spending--otherwise, they'd have been out in full force between 2000-2008 and they were no where to be found.

MSM needs to quit beating that dead and stinking horse. It's an epic fallacy.

[drew990]

10. .

Estimated Total Costs of Bailout

Fannie and Freddie bailout = $700 billion estimated, at least, on their $5 trillion portfolio.

Federal Reserve's increased printing of money to fund purchase of mortgage securities in market and bad assets from banks (which directly leads to an equal amount of inflation, a hidden tax on consumers and savers) = $2 trillion.

Eventual FDIC losses = $500 billion.

Credit union guarantees = $50 billion.

Present value cost of lost interest income to US retirees and other savers due to government's zero interest rate policy = $2 trillion.

Present value cost of additional high unemployment and lost wages caused by government's focusing on bank and Wall Street profitability first, rather than on job creation = $5 trillion.

Total loss in housing values due to inappropriate response to overbuilding and high foreclosure problem = $4 trillion (a fraction of the total housing value loss of 10 trillion, much of which was necessary to return to non-bubble levels).

Cost of future bad loans created since 2008 by Fannnie, Freddie and FHA by continuing to lend aggressively into declining real estate markets = $300 billion.

Wasted stimulus money (Where exactly did this money go and what do we have to show for it?) = $300 billion.

Total estimated cost of government bailout = $14.85 trillion.

[joe black]

11. We are fucked.

This country will never come back.

[democracy1st]

12. K & R