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Quote by: dixon  At least the first bailout went to purchasing assets, equities and make loans. Could theoretically all be returned to the government. It instantly fixed troubled balance sheets that could of gone bankrupt, Costing the government more to gurantee FDIC accounts. This time its going into a black hole, never to be seen again. |
The FDIC doesn't have anything to do with mortgages, which was the prime mover in the beginning. A lot of that money went to lenders who either sat on it or used it to buy other banks.
And just how MUCH of the bailout money went to purchasing assets, equities and making loans?
I have a feeling the politicians who are bitching and moaning about how bad this is are only upset because their contributors aren't rewarded enough by this bill, or at least what the bill is SUPPOSED to do.
If the first bill had been used ONLY to buy out the bad mortgages, by handing the lenders a payoff check for each mortgage and working with the homeowners for the payoff, this whole problem may not have gotten this bad.
I'd like to shake the face of the guy who first came up with the idea that handing a ton of money to the same damned people who CAUSED the collapse in the first place would be a good idea.