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Those in charge understand that TARP--the $700 billion expenditure to bail out Wall Street and "banks too big to fail" is a waste of money and did not accomplish its goals.
"Neil Barofsky, the special inspector general over the Troubled Asset Relief Program (TARP), said in a report that while the bailout has helped stabilize the financial system, many of the program's original goals have not been met.
"Lending continues to decrease, month after month, and the TARP program designed specifically to address small-business lending announced in March 2009 has still not been implemented by Treasury," Barofsky wrote in the report. "The TARP foreclosure prevention program has only permanently modified a small fraction of eligible mortgages, and unemployment is the highest it has been in a generation."
Higher unemployment, less lending, few loan modifications--this was the biggest boondoggle in history. Just months after being "saved", Bank of America, Goldman Sachs and the rest are reporting billions in profits. They used our money to make their profits.
Worse, the Feds set up corruption and conflict of interest with TARP. "Barofsky's office has repeatedly called for changes to one program under TARP that created public-private partnerships to purchase toxic loans and securities. In his report, Barofsky noted the possibility of "suspect trades" in the partnerships that already exist. Barofsky has pushed for stronger conflict-of-interest walls in the Public Private Investment Program."
This is why we should never give government money--it is wasted and thrown away. The cause of our financial problems? Government--accept it.
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"Neil Barofsky, the special inspector general over the Troubled Asset Relief Program (TARP), said in a report that while the bailout has helped stabilize the financial system, many of the program's original goals have not been met.
"Lending continues to decrease, month after month, and the TARP program designed specifically to address small-business lending announced in March 2009 has still not been implemented by Treasury," Barofsky wrote in the report. "The TARP foreclosure prevention program has only permanently modified a small fraction of eligible mortgages, and unemployment is the highest it has been in a generation."
Higher unemployment, less lending, few loan modifications--this was the biggest boondoggle in history. Just months after being "saved", Bank of America, Goldman Sachs and the rest are reporting billions in profits. They used our money to make their profits.
Worse, the Feds set up corruption and conflict of interest with TARP. "Barofsky's office has repeatedly called for changes to one program under TARP that created public-private partnerships to purchase toxic loans and securities. In his report, Barofsky noted the possibility of "suspect trades" in the partnerships that already exist. Barofsky has pushed for stronger conflict-of-interest walls in the Public Private Investment Program."
This is why we should never give government money--it is wasted and thrown away. The cause of our financial problems? Government--accept it.
More...