Comments on: Bailout economics http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Danny_Black http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21164 Sun, 21 Nov 2010 03:19:56 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21164 Maybe i am misunderstanding this bit:

“bailout monies have been paid back, which might be, and which won’t be. (Think banks, AIG, and Frannie respectively.)”

It read to me like you were claiming that the banks, AIG and Frannie were going to be the ones causing the greatest losses to the tax payer, which is clearly untrue. Assuming worst case scenarios it is Frannie, AIG, Housing and Automakers. Even under the worst case scenarios the Treasury isn’t going to lose money on Banks.

As for the dividends into Freddie, I am sure they were ***relatively*** small, like around 8 billion with Fannie doing twice that.

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By: FelixSalmon http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21083 Thu, 18 Nov 2010 06:00:37 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21083 Mr.Do, the difference between the NYT and WSJ is the difference between net and gross. The govt has put $134B into Frannie, but has received a lot of that back in dividends and interest.

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By: stevadore33 http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21071 Wed, 17 Nov 2010 21:25:01 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21071 Salmon is using sophistry: the debt is transferred from the private sector to the taxpayer. In the case of the mortgage bailout, it is transferred from the criminal to the victim.

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By: hsvkitty http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21068 Wed, 17 Nov 2010 19:45:45 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21068 Because the NY times one is a Government estimate of loss over a decade and no doubt has been softened by the scrambling to ensure that the mess up mortgage scandal is too complicated to pursue and won’t be held up in courts and thus slow down the market.

The WSJ is using info from Standard & Poor’s who have far less faith that the housing market won’t double dip and need more injections in spite of the scrambling above.

“…conservatorship. The Treasury has promised to inject unlimited sums through 2012 and nearly $300 billion after that in order to maintain a positive net worth and to avoid triggering liquidation.”

The injections make another bloated cow even more bloated, but that’s ok the taxpayers are good for it!

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By: hsvkitty http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21066 Wed, 17 Nov 2010 19:25:40 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21066 Pretty Good for Government Work? Someone he is cozy with in Government or banks asked him to give a thumbs up? And saddest of all he gives a thumbs up to BUSH! Un fricking believable!

And he knows not how it happened ( Banker magic? Goldman really is doing God’s work afterall?) but all he knows the results were an evasion of economic disaster.

It sounded like a ploy rather then a plug and all the crap about the economy being stable ~hallelujah is as bad as bush’s grandstanding declaration that the war in Iraq was over.

Don’t we all feel so good now that he has written that?

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By: Mr.Do http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21062 Wed, 17 Nov 2010 18:57:55 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21062 I don’t understand why the Times projects Fannie and Freddie to cost $55bn, while the WSJ has the cost at $134bn already and possibly as high as $680bn. Who is right?

http://www.nytimes.com/2010/11/17/busine ss/17bailout.html?nl=business&emc=dlbka2 2

http://online.wsj.com/article/SB10001424 052748703805704575594300330039336.html

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By: Woltmann http://blogs.reuters.com/felix-salmon/2010/11/17/bailout-economics/comment-page-1/#comment-21058 Wed, 17 Nov 2010 17:55:00 +0000 http://blogs.reuters.com/felix-salmon/?p=6182#comment-21058 Financial bailouts are always and everywhere an indication of irresponsible government. Buffett is the US’ greatest pimp, doing stand-up for the gov’t all the time money gov’t money is pouring into his pants through his personal mini-bailout of Goldman. What a joke!

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