The Bank Bailout in Perspective
Was the despised but ultimately profitable TARP program a success?
On the Newsstand:TARP
The Problem with Bankers’ Pay
Exorbitant compensation threatens the stability of the banking system
Well, I’m Shocked…
The government has opened 20 criminal investigations into the TARP program. Bankers screwing people out of money? I never thought I’d see the day! Snark aside, honestly, what else would you expect? It was a large amount of money being dispensed with in a short time in a period of national emergency; it’s very easy to take advantage of that ... Read More
“Quarterly Profits”
Goldman Sachs reported profits of $1.6 billion for the first quarter of 2009, and is hoping to put their newly demonstrated strength to use, by paying back their TARP money and getting that pesky federal government off their backs. Quick thoughts: In that quarter, how much have they taken in government money, either direct (TARP) or indirect (Government-financed payouts from ... Read More
The Department of Awesome
Apparently Congress is doing some bipartisanity of its own, without the intervention of President Obama. And possibly without his approval. Yesterday, Congress (with overwhelming support from both parties) quickly gave its approval to greatly expand the powers of the Inspector General investigating the use of bailout funds by recipient banks. This IG, Neil Barofsky, is a federal prosecutor making sure ... Read More
An Odd Symmetry
I couldn’t help but notice a pretty odd parallel (or, properly, inversion) between the abortive auto bailout killed by Senate Republicans and the TARP bank bailout of October. The first one, killed by House Republicans. Gosh, the Republicans do not like bailouts. Sidebar: While yes, large government bailouts do go against the Republicans’ stated ideals of limited government interference in ... Read More
