GOOD FAQ post

Filed in National by on March 23, 2009

I suggest anyone that has questions regarding the new and latest greatest bailout go here

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Comments (8)

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  1. Rebecca says:
    March 23, 2009 at 5:37 pm

    So, as I read this, it appears that the Treasury stands to make back this money IF,

    The housing market turns around and enough qualified buyers can be found to purchase all these forclosed properties.

    Then the assets recover some portion of their value and everybody makes money.

    The catch is “qualified buyers”. With unemployment projected by some to top 10% by July who is going to buy the houses? Even deeply discounted houses.

    Last month’s housing sales figures are trending good but I’m waiting for the revision that always follows these numbers. And we’ve still got a very long way to go to dig out of this pit.

    It could turn out to be a brilliant scheme but there is an awful lot of luck involved here.

  2. jason330 says:
    March 23, 2009 at 5:47 pm

    Great link DV.

    Rebecca, I get it now. The plan is too big to fail. Therefor, if it looks like it might fail, an even bigger plan will come along to bail out this plan.

    I feel better now.

  3. Donhusseinsquishviti says:
    March 23, 2009 at 5:48 pm

    if the hedge fund guys can get us out of this, they win big and save the country, literally

  4. cassandra_m says:
    March 23, 2009 at 5:59 pm

    Brad DeLong is one of my daily reads — he is also one of the few econ guys out there relatively sanguine about the Geithner plan.

  5. Unstable Isotope says:
    March 23, 2009 at 6:12 pm

    I have to say that after reading DeLong’s posts I feel a little better about the plan. I do see his point, about the politics as well as the policy. I do think one advantage the government does have with holding these assets is that we can afford to hold them for a long time, until we actually do make some money on it. Perhaps it will work. I just hope we’re not trying to reinflate the bubble. House prices still have quite a bit to drop before they reach historical levels.

    See the Case-Shiller home price index —> Link

  6. pandora says:
    March 23, 2009 at 6:14 pm

    Just on MSNBC:

    15 OF 20 TOP AIG BONUS RECIPIENTS GIVE BACK $30 MILLION IN PAYMENTS

  7. Unstable Isotope says:
    March 23, 2009 at 8:28 pm

    Is our bankers learning?

  8. Nancy Willing says:
    March 24, 2009 at 9:06 am

    I just hope we’re not trying to reinflate the bubble. House prices still have quite a bit to drop before they reach historical levels.

    *
    The Geithner plan is a bet that the value of these home prices will stay up, up, up for evah. Or as one Eschaton commentor said – for at least 50 years until we are all dead and gone.

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