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Treasury Secretary Henry Paulson and his bailout…

30 December, 2008

The Wall Street Journal Online has two brief stories here and here about how Henry Paulson is handling the money voted earlier by Congress to help the revive the US economy.

The first, written by Michael R.  Crittenden, points out that Paulson is by-passing the congressional oversight that was built into the package they approved.  According to Crittendon, Paulson has already promised more than the original 350 billion dollars that was already released by Congress on the assumption, I suppose, that Congress will merely have to release the rest of the 700 billion dollars to him anyway. The new president will evidently have little input.

The second story, by Heidi N. Moore, suggests that the total cost of the government “stimulus package” will easily push past the trillion dollar mark.

“It isn’t hard to get there. The $700 billion Troubled Asset Relief Program takes its position alongside $30 billion for Bear Stearns, $150 billion for American International Group, $200 billion for Fannie Mae and Freddie Mac, $245 billion for the commercial paper market and $540 billion for the money markets, as WSJ colleague Matthew Karnitschnig pointed out. Count also nearly $400 billion for Citigroup alone, and TARP funds that open the door to more: the $17.4 billion dollar emergency loan the government provided to General Motors and Chrysler, and a new $1 billion loan to GM and a purchase $5 billion of GMAC’s senior preferred equity.”

The truth is that I can’t really wrap my head around these figures and I will probably have to ask Diamond Tiger at Logistics Monster to explain it to me before my headache gets any worse. Quite frankly, I have enough trouble just balancing my checkbook, my mother’s checkbook, and my spouse’s checkbook.  I have never ever had to worry about a billion dollars, let alone a trillion.

I have, however, read enough of Diamond Tiger’s posts to know that I should be really worried about what Paulson is doing and the fact that he is not accountable to anyone for how he spends our money.

I am really worried.

3 Comments leave one →
  1. 30 December, 2008 21:15

    Cats – thank you so much for giving me a hattip! Please feel free to post any of my stuff if you think it will help!!!

    Safe Journeys

  2. 30 December, 2008 21:15

    one more thing Cats,

    not to freak you out anymore – but Paulson is only the face of the movement. You will not believe what I am finding out doing the research on these boys and girls.

    I am way past terrified and into “marching on DC” pissed.


  3. 31 December, 2008 21:15

    Cats – feel free to repost any of this and a link back – it’s way long:

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