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Showing posts from July 29, 2012

The Bailout Continues to look better

The US Treasury sold another $5 billion in share of AIG. See article here.  Although there certainly can be some question of how and how much was done in the various aspects of TARP, it has become fairly clear that it was effective in several ways - it lead to many employees not losing their jobs, stabilized the economy and confidence in the economy (in some ways) and did not cost the taxpayers nearly as much as one would think for the headlines.  I do understand that there was some opportunity cost in that we could have spent the money in another fashion or even paid down debt.  The former was extremely unlikely and the later would have made things much worse.  See here for more details.