The vote failed on the bailout plan and markets fell, setting new records. Although I can see why some smart people supported the plan, ultimately I think it would have been a mistake from a political and moral perspective to pass it. However, that doesn’t mean the 700 billion can’t be put to good use [...]

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Well, they’ve got a draft. Here it is: Bailout Legislation Draft, all 110 pages. I am still going through it and will reserve judgement until I do my homework but here is what CNN posted as the summary: 
“Key provisions of the bill
Doling the money out: The $700 billion would be disbursed in stages, with $250 billion made [...]

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Some of you may be wondering what this “mother of all bailouts” really means for you (Canadian perspective)? Well, let me break it down. The US government just spent about half a trillion on bailing out a few institutions, now it looks like they plan on buying out the entire debt of the sub-prime mortgage crisis. The [...]

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Ever wonder why Lehman Brothers didn’t get bailed out of bankruptcy by the Bush administration? Merrill Lynch, AIG, Bear Stearns, Fannie Mae and Freddie Mac all got billions of federal money, one way or another, to insure their survival. All except for Lehman Brothers who were only loaned money to go bankrupt. I wonder what could be so special about [...]

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