US unveils new $1.5 trillion plan

BBC news ^ | 2/10/2009 | BBC

[Centurion2000]

US unveils new $1.5 trillion plan

US Treasury Secretary Timothy Geithner has unveiled a comprehensive $1.5 trillion (£1.02 trillion) bank bail-out plan to beat the financial crisis.

Under the plan, the size of a key Federal Reserve lending program will be expanded to $1 trillion [EM] from $200bn.

In addition, a public-private investment fund of $500bn will be created to absorb banks' toxic assets.

"Right now critical parts of our financial system are damaged," Mr Geithner said.

"Instead of catalyzing recovery, the financial system is working against recovery, and that's the dangerous dynamic we need to change," he added.

Leading US stock indexes fell after Mr Geithner started his speech on the new plan.

Transparency and accountability

Mr Geithner said the new plan should unfreeze the credit market, strengthen banks and "provide critical aid for homeowners and for small businesses".

"And as we do each of these things, we will impose new higher standards for transparency and accountability," he added.

He said that the public-private investment fund to buy up risky assets will be seeded with government money and could be expanded to $1 trillion.

........... see more at link

Story from BBC NEWS: http://news.bbc.co.uk/go/pr/fr/-/2/hi/business/7880969.stm

Published: 2009/02/10 17:10:30 GMT

© BBC MMIX

[Centurion2000]

Elections have consequences. The market is NOT liking this at all.

[TChris]

For those who have not viewed this yet, I highly recommend it.

Keynesian Economics Is Wrong: Bigger Gov't Is Not Stimulus

[NormsRevenge]

comprehensive.. heh.

[FlingWingFlyer]

HAVE YOU PUNCHED A DEMOCRAT TODAY?

[keepitreal]

Let’s see:

almost 1 trillion first time TARP
1 trillion stimulus
1.5 trillion second bailout

3.5 trillion spent and they haven’t even dealt with the budget yet.

[GeronL]

Bailout Part Deux

same as the first but bigger

wait until the second ‘stimulus’

all new debt

[GeronL]

its actually more than that, they have spent trillions through existing channels to ‘shore up’ the economy

[wastedyears]

Is this different than Porkulus which passed today?

[wastedyears]

Keep, don’t people say the national debt doubled after 8 years of Bush?

Let’s see how much debt he piles up, and how fast.

[SouthTexas]

We are now officially toast.

[ArrogantBustard]

0bama, Reid, Pelosi, and the entire demoncRat Party are deliberately and willfully, with malice aforethought, trying to destroy America.

It's that simple.

[Le Chien Rouge]

[Brett66]

Transparency and accountability

Yes, acountable to their special interest groups, transparent in that government spending is a major part of the problem.

[Diogenesis]

A proven TAX-CHEAT leads -- but considers NONE of the following:

---

Rep. Kanjorski: $550 Billion Disappeared in "Electronic Run On the Banks"
"On Thursday Sept 15, 2008 at roughly 11 AM The Federal Reserve
noticed a tremendous draw down of money market accounts in the USA
to the tune of $550 Billion dollars in a matter of an hour or two.
Money was being removed electronically.
The treasury tried to help with $150 Billion.
But could not stem the tide.
It was an electronic run on the banks
The treasury intervened but had they not closed down the accounts
they estimated that by 2 PM that afternoon.
Within 3 hours. $5.5 Trillion would have been withdrawled
and collapsed and within 24 hours the world economy."

---

FLASHBACK: from 9/15/08:

“U.S. President George W. Bush said Monday he is confident
that the markets are resilient and can deal with the latest financial blows.
“We are working to reduce disruptions and minimize the impact
these financial market developments on the broader economy.” ...

U.S. Democratic presidential candidate Barack Obama
said eight years of Bush “brought us the most serious financial crisis
since the Great Depression.”

His Republican rival said John McCain said he was happy the
federal government decided not to use taxpayer dollars to bail out Lehman Brothers.”

How did Obama know THEN
that we would experience the ‘most serious financial crisis since the Great Depression’
when those who did not plan the takeover would not know for three more months?

---

October 10, 2008, another massive selloff.

[indcons]

Yes. This is Hussein’s equivalent of TARP 1 - TARP 2 on steroids with a Orwellian-sounding name.

This program is going to be run by a tax cheat whose previous job as New York Fed Reserve chief was to architect TARP 1 with that criminal, Paulson.

[Deo volente]

The smell of treason is thick in the air.

[Right_in_Virginia]

I am really confused. Is this $1.5 trillion in addition to the original $800 billion tarp and the $800+billion porkulus now working it’s way through the Congress???

[Erik Latranyi]

$2 trillion could pay off the mortgages of every homeowner on the planet!

Now THAT would stimulate the economy!

But....NO......we have to have gov’t screw around with it.

[Just another Joe]

A trillion here, a trillion there, pretty soon you’re talking REAL money.

[frogjerk]

Yes