[lbo-talk] CBO on TARP

c b cb31450 at gmail.com
Wed Mar 30 14:29:55 PDT 2011



> Also, why would the Financial Times
> give a figure like $12 trillion for the bailout ?

Beats me. You screwed up the difference between asset purchases and expenses; you'll have to find an exact quotation for me to respond to. But if you read it as "the cost of the bailout is $12T" you're way off.

^^^^^ CB: It's not the FT and there's not much argument but here's that 12 Trillion figure again

http://www.pbs.org/wnet/need-to-know/economy/the-true-cost-of-the-bank-bailout/3309/

I'll look for the FT article

The true cost of the bank bailout September 3, 2010

We all know about TARP, the Troubled Asset Relief Program, which spent $700 billion in taxpayers’ money to bail out banks after the financial crisis. That money was scrutinized by Congress and the media.

But it turns out that that $700 billion is just a small part of a much larger pool of money that has gone into propping up our nation’s financial system. And most of that taxpayer money hasn’t had much public scrutiny at all.

According to a team at Bloomberg News, at one point last year the U.S. had lent, spent or guaranteed as much as $12.8 trillion to rescue the economy. The Bloomberg reporters have been following that money. Alison Stewart spoke with one, Bob Ivry, to talk about the true cost to the taxpayer of the Wall Street bailout.



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