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Originally Posted by Vexx
It isn't the dollar value (though we now know that $700B was literally pulled out of thin air). Its where its being applied that reasonable people might disagree on.
I think that increasing confidence in the credit markets is a matter that simply wasn't addressed in the bill. I also think the administration blew what remains of their credibility in the way the whole thing was developed and presented.
A lot of congresscritters voted against it for the wrong reasons.. .but that doesn't mean it wasn't a mess that needs to be corrected.
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You are totally correct. To address the confidence and trust issue, they have to "mark their asset to market value". That means some of them will go bankrupt. Hence, they ask Paulson to take their junk to taxpayers in exchange for cold hard cash.