TARP and Stimulus – what you should know!

I have never really know what TARP and stimulus really meant. Do you?

I have come across this very useful article and think that it is wise to share with my stockaki gang so that we can learn from each other as much as possible.

Here are some really interesting statements that you should pick up from his article:

1. The stimulus gave no money to bankers. The TARP was not stimulus.
2. The Troubled Asset Relief Program was an $800 billion lending program to stop a run on the banks. The TARP was proposed by the Bush administration in September 2008.
3. The separate $787 billion stimulus plan was approved about four months later, in February 2009.
4. Most of the stimulus money was spent in four areas…. (read for yourself) and none of it went to banks.
5. Most independent experts -- including the Congressional Budget Office and conservative economists -- who've looked at it, agree with the White House that the economy would be much worse without the stimulus.

Go ahead… read it. It is hell of an article.

Two dangerous myths about the stimulus Rex Nutting - MarketWatch