Flashback: Total Bailout Cost Heads Towards $5 TRILLION
Fighting the financial crisis has put the U.S. on the hook for some $5 trillion a report says. So far.
For all the fury over Treasury Secretary Henry Paulson’s $700 billion emergency economic relief fund, it seems downright puny when compared to the running total of the government’s response to the credit crisis.
According to CreditSights, a research firm in New York and London, the U.S. government has put itself on the hook for some $5 trillion, so far, in an attempt to arrest a collapse of the financial system.
The estimate includes many of the various solutions cooked up by Paulson and his counterparts Ben Bernanke at the Federal Reserve and Sheila Bair at the Federal Deposit Insurance Corp., as the credit crisis continues to plague banks and the broader markets.
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The Fed has taken on much of that total, including lending a cumulative $1 trillion in overnight or short-term loans since March to primary dealers through its emergency discount window and making a cumulative $1.8 trillion available through its term auction facility, a series of short-term transactions it began making available twice a month in January. It should be noted that a portion of the funds lent in these programs has been repaid and that the totals represent what has been made available.
The Fed also took on tens of billions in debt, including $29 billion in debt of Bear Stearns, and made $60 billion of credit available to American International Group (nyse: AIG – news – people ). It is committing $22.5 billion to set up a special purpose vehicle to manage some of AIG’s residential mortgage-backed securities, and it is financing $30 billion of a second fund to hold $70 billion of multi-sector collaterized debt obligations on which AIG wrote credit default swaps.
November 13th, 2008 at 10:34 am
Fuck it. Secession is the only way. What are we made of? What are we waiting for?
November 13th, 2008 at 3:02 pm
You could have read this article on your HDTV with http://www.freedomonmytv.com!
November 13th, 2008 at 8:48 pm
Don’t worry,just print up a few more green backs…it’s only money,maybe if they just make up a trillion dollar bill it will be easier when i go to buy my loaf of bread next year instead of the wheelbarrow that you needed in germany prior to ww2,look at the africans huge inflation,time to plant tomatoes and potatoes,it don’t cost much and if every one plants some,you won’t have to kill your neighbour when he comes to steal a potatoe one night soon.
November 14th, 2008 at 1:03 pm
When we can get a clearing house for those who wish to take our country back, then and only then can we organize to bring down this isanity we call our goverment. Remeber, it took a minority to win our freedom in 1776 and it will take the same whenever you’re ready. Take stock and prepare.
November 15th, 2008 at 4:07 pm
we will win our country back people !
we will do what is needed to do so!
you are needed to stand against them strongly!
do not lose hope or faith in what you hold sacred!
they know we are coming and they are worried.
we are the only change that will be real and for the people of America!
if you are afraid- you should know that the only fears you should have are to fear not having ,love, truth, justice, freedom and liberty.
our spirits can be broken at times but we have proven that we mend our spirits and we shall! we arte down but not out folks!
it is your responsiblity to as a citizen of the USA to stop at all cost and any means under god the continuance of the governmental takeover over us its people!
you have been warned! many times by many people now. if you are waiting for others to act before you do – well, they may be waiting for you to do the same.
i am simply stating it must be us to change things and it must be now!
we all have much to lose individually in these actions but none of us has more to lose than our country as a whole!
begin resistance, begin the restoration
LONG LIVE THE REPUBLIC!