You know the $700 billion bailout that was passed to create a “Troubled Asset Recovery Program”? Well, Secretary of the Treasury Henry Paulson has decided not to buy troubled assets. Instead, he is buying bank stock. According to ABC,
“Paulson said today, he knew when the bill was signed the purchase of trouble assets wasn’t the right solution to the problem.” But. . .but. . .that’s not what he told Congress or the American people. Did we just give him a blank check with a $700 billion line of credit to do anything he wants to with it? We are also going to bail out the auto industry, people behind on their mortgages, and who knows where it will stop? If YOU want a bailout, here is a link to the proper form. (HT: ABC)
It seems to me that you can’t get out of an economic problem by just printing money and giving it away. Can you?
UPDATE: See this account of the bailout fiasco.
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