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The Emergency Economic Stabilization Act of 2008 commonly referred to as a bailout of the U.S. financial system, is a law authorizing the United States Secretary of the Treasury to spend up to US$700 billion to purchase distressed assets, especially mortgage-backed securities, from the nation's banks. The Act was proposed by U.S. President George W. Bush and Treasury Secretary Henry Paulson during the global financial crisis of September-October 2008.
The purpose of the plan was to purchase bad assets, reduce uncertainty regarding the worth of the remaining assets, and restore confidence in the credit markets.
The Reasons for the Bailout Package:
1. To Stabilize the economy
2. Improve Liquidity
3. Improve Investor Confidence
4. Reduce the impact of the financial crisis on the US Economy and GDP.
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Is the bailout really a bailout?
No, the government is actually investing in America. The government will be purchasing illiquid securities at very attractive prices and eventually make billions of dollars for the American people. Answer: Yes those who were irresponsible are being bailed out - Banks, GM, "home owners".
Terms best describes government involvement in the form of financial assistance to crisis-stricken banks and businesses?
Bailout A+
What were the major economic events 2008?
The Financial Bailout and the Big 3 bailout
What is the latest bailout plan?
The latest "bailout" is the automotive bailout of the Big Three automakers, Ford, GM, and Chrysler. Legislation was introduced on Dec. 8th.
What does bailout mean?
See: http://en.wikipedia.org/wiki/Bailout Bailout refers to the action of helping out somebody in trouble. You can compare the bailout in financial terms to the bail or parol we get for someone in jail. In bailout, a company with strong financial status offers to help a company that is in dire financial needs. Such a scenario is where the stronger company bails out the weaker one.
Has Ford changed the price of its vehicles since the automaker bailout?
Ford was one of the very few automakers who did not take any bailout money from the government, thus the bailout has not affected their pricing.
Should the U.S. government bailout Puerto Rico?
Of course!
What are the release dates for Firing Line - 1966 Government Bailout 15-5?
Firing Line - 1966 Government Bailout 15-5 was released on: USA: 16 February 1980
Should the US government cut spending after the 700 billion dollar bail-out goes through?
If the bailout package is able to successfully revive the US economy then the US government should cut spending on the bailout. But some financial experts feel this 700 billion may not be sufficient. If what they predict becomes true then the government would have to pump in more cash into the bailout package. This bailout cannot be left in midway because the future of the world and US economy lies predominantly on this bailout and people are hoping that this works out successful.
What is 900000000000?
That is 900 Billion, The amount of the US Government Bailout package.
Which is defined as monetary assistance by the government to financially threatened corporations?
bailout
What does GM finance arm silent on crucial Govt bailout mean in easier speech?
GM isn't telling whether or not they're getting the bailout from the government yet. They don't want to comment on anything to do with the bailout or their finances.
What can you do if your business sink because of government did not pay for your goods?
Ask the government for a bailout using taxpayer dollars.
What industry received a bailout from the federal government in the 1980s?
Savings and loan banks
Why did the us government decide to give banks a bailout during this crisis?
i dont no
Who was the first automobile company bailout by the government?
chrysler was bailed out in the 80's.
Which term is defined as monetary assistance by the government to financially threatened corporations?
bailout
