Has TARP worked?

Ron61 · #1 (**permalink**) 12-16-2009, 05:20 AM

Ernie,

Even Obama has admitted that the Govt. has grown in size since he took office but it was something that had to be done and he wasn't lying when he said before he was elected that we needed less Govt. He has replaced a few people with new ones but he has created a big amount of new positions. This is true because HE said it. Not a media report.

Ron

Feffman · #2 (**permalink**) 12-16-2009, 05:56 AM

Our firm (we've taken no TARP money and are sitting on a significant pile of cash) made a bid for AIG's American investment and insurance operations several months ago. We were outbid by a firm that took TARP money so we walked away from the potential purchase (CEO said we couldn't outbid the US Government). A week or two later the firm that outbid us also walked away for their bid and shortly thereafter, AIG went back to the Fed's for about $32 Billion more in assitance. My favorite TARP story.

Feff

427sharpe · #3 (**permalink**) 12-16-2009, 08:14 AM

I resist the idea currently floated that ANY firm is 'too big to fail'. I believe that is an absolute myth. IF a mega bank had failed, what would have happened? Assets get bought up by other (better run) firms, liabilities get re-distributed, and the names on the doors change. Instead, we REWARD profligates who ran the company into the shoals! Insanity.