$400 B Blank TARP Check for Obama?
The only thing worse than seeing Paulson & Treasury spend the remaining $400B+ in TARP funds is seeing that they won't do it in order to reserve the money for the Obama Administration.
First, we are told that we need the $700B immediately...or else we will face a Depression. Once it's passed by the House (with another $100B for pet projects to get everyone on board), the plans change dramatically. And now the Treasury wants to give the blank check to Obama for use at his discretion? That is nearly a guarantee that it will be used for some ineffective purpose like FDIC Sheila Bair's crazy proposal to bail out all underwater mortgages. Or worse, to provide universal health care, a bailout for the UAW or another Democratic pet project.
The plan was never great to begin with, but now it has become a gigantic waste. If there is no plan to use the funds, withdraw the remaining amount and eliminate the carte blanche. Otherwise Obama's New Deal will be as disastrous as FDR's.
First, we are told that we need the $700B immediately...or else we will face a Depression. Once it's passed by the House (with another $100B for pet projects to get everyone on board), the plans change dramatically. And now the Treasury wants to give the blank check to Obama for use at his discretion? That is nearly a guarantee that it will be used for some ineffective purpose like FDIC Sheila Bair's crazy proposal to bail out all underwater mortgages. Or worse, to provide universal health care, a bailout for the UAW or another Democratic pet project.
The plan was never great to begin with, but now it has become a gigantic waste. If there is no plan to use the funds, withdraw the remaining amount and eliminate the carte blanche. Otherwise Obama's New Deal will be as disastrous as FDR's.
posted by Richie Rich | 8:20 AM
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