"$800 billion fund to purchase so-called failed assets and a separate $400 billion pool "

[steve2470]

http://www.bloomberg.com/apps/news?pid=20601087&sid=a7EEV_n9MyXw&refer=home

Options that U.S. officials are considering include establishing an $800 billion fund to purchase so-called failed assets and a separate $400 billion pool at the Federal Deposit Insurance Corp. to insure investors in money-market funds, said two people briefed by congressional staff. They spoke on condition of anonymity because the plans may change.

Another possibility is using Fannie and Freddie, the federally chartered mortgage-finance companies seized by the government last week, to buy assets, one of the people said.

No Specifics

``We will try to put a bill together and do it fairly quickly,'' House Financial Services Committee Chairman Barney Frank, a Massachusetts Democrat, said after the meeting. ``We are not in a position to give you any specifics right now'' on the proposals, he said when asked about the potential cost.

The likelihood of the government taking on yet more devalued assets, after the seizures of Fannie, Freddie and AIG and the earlier assumption by the Fed of $29 billion of Bear Stearns Cos. investments, may spur concern about its own balance sheet.

more at link above

[Uben]

1. Yippee!

That's another $2700 debt, per person in the USA. Now, everyone of us owe about $5K towards the national debt.

If we sent that money to Obama instead of the government, look what we could do!

[last1standing]

2. $1.2 Trillion? Isn't that the EXACT same amount that bush* gave the wealthy in his tax cuts?

Think maybe it's time to get that money back? :shrug: