- First it was Wall-Street that got bailed out.
- Then it was banks who got bailed out and used the money to buy other banks, meanwhile increasing homeowners mortgage payments.
- Then insurance companies became banks to get helping hands.
- Then it was 2 of the Big 3 who got bailed out just so the UAW could pay its retirees health benefits and pensions.
- Moneywise, more than $1.5 trillion in FDIC loan guarantees, including a $139 billion assist tot he lending arm of General Electric Corp. is given out.
- $1.8 million in cash, tax breaks and loan guarantees from the Treasury Department to financial institutions and credit companies.
- $300 billion for homeowners from the Federal Housing Authority
- $25 billion in cash assistance for auto companies.
- And $5 trillion worth of new money, loan guarantees and lending requirements from the Federal Reserve Bank.
- For a grand total of about $8.7 trillion dollars’ worth of potential taxpayer commitments for loans, guarantees and other bailout “items”, yet we as the wallet holders can’t see the exact details of all these deals according to the Feds.
- The newspapers want bailed out.
- The Governors of 5 states want $1 trillion in federal assistance.
- And the US Steel Industry wants bailed out.
And all this while, the taxpayer stimulus package is still on the backburner while foreclosure rates increase and unemployment increases. So how’s your year looking?
Can I just have my Federal tax refund this year and not an IOU?
The governors of New York, New Jersey, Massachusetts, Ohio and Wisconsin – all Democrats – urged the federal government to provide !1 trillion in aid to the country’s 50 states to help pay for education, welfare and infrastructure as states struggle with steep budget deficits.
The initiate is for a two-year package and was backed by other governors and follows a meeting in December where governors called on Obama to help them.
Gov. Paterson of NY said 43 states now have budget deficits totaling some $100 billion as tax revenues plunge.
The latest package calls for $350 billion to create jobs by building or repairing roads, bridges and other public works; $50 billion to maintain educations; and another $250 in “counter-cyclical” spending such as extending unemployment benefits and food stamps. The remainder would be used to fund middle-class tax cuts, stimulate the housing market, and stem the tide of home foreclosures through a loan-modification program. [Yea, we’ve seen how well those loan-modification programs are, with increases of $300 a month to a homeowners mortgage.]
Industry executives are pleading for a huge public infrastructure investment program – of up to one trillion dollars over two years – under Obama’s proposed stimulus plan.
“What we are asking,” said Daniel DiMicco, chairman and chief executive of the Nucor Corporation, a giant steel makers, “is that out government deal with the worst economic slowdown in our lifetime through a recovery program that has in every provision a buy America’ clause,” the New York Times quoted him as saying. Only two U.S. steel makers are in the top steel producers of 2007.
Basically, the steel industry is petitioning Obama for major infrastructure development, thus stimulating the steel industry.