Wednesday, February 3, 2010
CBO: TARP will cost only $99 billion
The CBO says that the cost of rescuing the financial system will cost much less than originally predicted. What they fail to mention is that the losses are due not to banks but to the Detroit and the UAW:
"CBO estimates that the program will have a net cost of $99 billion over its lifetime—much less than originally expected. In March 2009, CBO estimated the cost to be $356 billion, but since then, market conditions have improved, and many institutions, including several large banks, have repurchased the preferred stock that they sold to the government."