Failures of Government Bailouts

         

                   

Bailouts have invariably been failures; why do some still consider them as ongoing solutions? The 2008 financial disaster produced bailout attempts amidst a whole assortment of action:

                     

Some Examples: The takeover of banks. The takeover of Fannie Mae and Freddie Mac. The takeover of AIG.The Troubled Asset Relief Program (TARP) to buy bad mortgages from banks. The Public-Private Investment Program to buy the same troubled assets. The takeover of GM and Chrysler.The funding of solar energy enterprises doomed to lose out from the very start.

                     

We had perfectly good operating car companies in the U.S. to pick up business and relocate jobs. Still, the administration had to bail out General Motors and Chrysler. That helped powerful unions but did little else for the economy. Ford and others in the industry operating in the U.S. were able to carry on without bailout help.

                     

The government pumped out money. Federal Reserve funds were priced down to practically no cost in the banking system.

                     

All this trillions upon trillions in outlay, with little success to show for it, compared to what would have happened if the politicians and their experts sat on their hands. (See the Earl J. Weinreb NewsHole® comments and @BusinesNewshole at Twitter.)