The Mother of All Bail-outs.
Where are the details?
Equity sharing: How much? What type?
Profits to pay back the debt: How much? By when?
The debt sickens me. Unless the government is going to increase my income to pay for the inflation tax that it is about to laid at my feet via the printing press and more debt, this should not pass (I'm picturing myself as Gandalf shouting at the Balrog in Moria). We're heading for Zimbabwe territory.
I'm calling and emailing all of my elected representatives again.
3 comments:
Maybe I'm reading this wrong, but it looks like this may not be as bad as I had imagined it based on the Taxpayer Protection section. It includes equity sharing and most profits to be used to pay down the debt. So we pay $700B, but get the equity, the monthly payments, money once the property is unloaded and any potential profits. If that's the case then overall liability to the taxpayer would be much much less than $700B.
I also like that $250B is now and the rest later if needed. No reason to jump all the way in. This limits the risk even more.
I just hope that it does the trick and keeps the economy from teetering out of control. If we just leaned into a $700B money loosing investment and need to do it again in 6 months, I'll be angry. And you don't want to make me angry.
I do wish "most profits" said "all profits". not sure how that will be interpreted down the road.
Looks like they jumped the gun. Shelby is saying it's still a no go.
The overall liability isn't just the debt they issue or the money they print, it's the interest rate and the inflation tax that will result.
I am not very hopeful that we'll see a positive return on any equity. They still are not dealing with the root of the problem, which is too much supply. We better all hope the economy turns around and GDP sky rockets.
And no, I don't want to make you angry, except by beating you at FF.
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