If they had not done that, their estimation was that by 2:00 that afternoon, $5.5 TRILLION would’ve been drawn out of the MM system of the US,
would’ve collapsed the entire economy of the US and w/in 24 hours the world economy would have collapsed.
Now we talked at that time about what would happen if that happened.
It would have been the end of our economic system and our political system as we know it.
And that’s why when they made the point, we’ve got to act and do things quickly we did it.
"Why? Because if you don’t have a banking system, you don’t have an economy."
McConnell is retarded.
Pumping massive amounts of money into the banks kept them from... running out of money for a while?
and?
and?
I agree, it was quite a success.........FOR BANKERS.
These people are certifiably insane...
How y'all betting?
Leni
Just gives you that warm feeling about 2010, doesn’t it?
McConnell — YOU LIE!
And then the wolves would have come out of the hills surrounding Washington and New York and eaten everyone. After that things would have started getting really bad.
I would love to see the official "estimates" of how bad things were going to be and see how much they changed until Congress buckled. Paulson probably kept upping the disaster scenario until the hundreds of billions started flowing to his friends at Goldman Sachs (and whatever other banks could pick some up too).
I completely agree. The TARP did help stabilize the banking system. It is utter Bullcrap that Obama pats himself on the back for stabilizing the economy, because the porkulus bill has done virtually nothing. Porkulus did not create the jobs it was suppose to. $787 Billion dollars could have easily been used to create 10 million jobs if it was used with market forces instead of just a bunch of random unnecessary infrastructure projects.
Making Glenn’s point for Glenn.
I do not care who says it, or why. TARP, because it never met its orginal objectives (to purge the toxic home loans from the portfolios scattered throughout every financial institution that was affected), was a consummate failure, and was almost a total waste.
Would the banking system have collapsed? That is only idle speculation after the fact. The reality is, the banking systen had ALREADY collapsed, and the TARP effort was only, at best, a rescue mission, one that failed. What collapsed was, first of all, CONFIDENCE, and confidence, a form of trust, once lost, is recovered only slowly.
Even more slowly, because the remedy used, the nilly-willy injection of cash into the system, did little to shore up or salvage anything from the mess created.
An economic Hurricane Katrina. The storm did not hit directly, but the waves created smashed the levees, and flooded the vulnerable places that lay in harm’s way. Worse, the warning signs were there, and those who COULD have stepped to the forefront to sound the warning and encourage people to make their escape, sat on their hands and signally failed to perform their appointed duties, ending up with the blame being placed on altogether the wrong persons, and assigning the wrong reasons.
Doing nothing would have proved less disasterous in the long run. It was like feeding highly caffeinated coffee to a drunk, you do not sober him up, you just have a drunk who is wide awake and wired.
Republicans - doing the dirty jobs democrats are too smart to do.
Weren't we told something like the world would collapse unless the bailout were passed in the next 72 hours?
I don’t think the first chapters of this story have been written yet, let alone the middle and final chapters. There are so many from both major parties with something to hide concerning the causes of the financial crisis, and then the chosen ‘solutions’ that it will be very hard to get at the truth. Probably take a few years.
But Goldman, Sachs seems to have come out smelling like a rose.
And do we even yet know where all those billions actually went?
wall street would have bailed itself to survive. where are the jobs?
TARP’s free money for all banks and Obama’s Stimulu-pork for Democrat districts have buried us, and buried our children.
We’ll never be able to borrow enough real money to cover our thin-air, un-backed, fiat currency.
Debt, inflation, deprivation, dependence - America’s future. Thank you, Reid/Pelosi Congress. Thank you, George Bush. Thank you, Obama. Mmm, mmm, mmm.
Pphhhphh!!—HAHAHAHA!!!
Last Night on Greta Van Susteran there was some talk about Paulson “misleading” about the banks that got the TARP funds. Supposedly these banks were “healthy”, but in reality were not. A little fuzzy on the details...anybody else hear about this?
There were parts of TARP that were unfortunately necessary because we had constructed artificial government incentives which skewed the market.
TARP was also misused, because the legislation was poorly constructed, and that misuse has not been helpful.
But TARP is “successful”, compared to the stimulus package, which actually made things worse.
Success???? The guy is a Damm idiot the market would have corrected itself!