For Immediate Release
Bailout Costs $8.5 Trillion
WASHINGTON - US Federal Government has pledged $8.56 trillion in economic bailout for financial institutions so far
Tuesday the U.S. government announced another $800 billion injection in
hopes of bolstering the frozen credit markets and devastated housing
markets. The $800 billion is an addition to 7.76 trillion dollars that
Bloomberg reports has already been contributed to the bail out
attempt. The running total so far for this effort is over 8.5 trillion
dollars or the equivalent of roughly 26 thousand dollars for every man,
woman and child in the United States.
The Real News spoke to Journalist and author Nomi Prins to discuss
where this money is coming from. She says "it's coming from two
sources which ultimately comes back to us the tax payer." These two
sources are the Federal Reserve which is using undisclosed bonds for
collateral leading to a short fall of money coming in to the treasury
department, and national debt interest.
Prins touches on the fact that until the potential asset losses
within the system are disclosed, no effective progress can be made, "In
the end...the simple infusions of capital...will not work unless it's
done to the amount of potential loss that is in the system".
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