2008 Federal Bailout

Where is the US getting money for a bailout?


Wiki User

40% of it comes from US citizens who purchase government debt through instruments like savings bonds and us treasury certificates, another 20% comes from inter-governmental lending ie the social security trust fund, and another 40% comes from foreign investors the top one being China. China needs someplace safe to park their international reserves and they get the added bonus of selling their goods and services to the United States. China will continue to buy US debt because they need a strong US economy to support their own exports.