The Real Recovery | December 07, 2009 | 2 comments

Will TARP cuts mean a jobs program? - Real Recovery

source: http://blogs.current.com/news/2009/12/07/will-tarp-cuts-mean-a-jobs-program-real-recovery/

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The Treasury is estimating that the original cost of the TARP program for banks (estimated over ten years) can be revised down by about $200 billion. Does that mean the President will want to use that money for jobs?

From WSJ:
"The White House has been under pressure to tame the $1.4 trillion budget deficit, which has ballooned as the U.S. borrows vast sums of money. But with unemployment at 10%, the administration is also under pressure to find ways to create new jobs. Lowering deficit projections could help alleviate concerns that a new jobs bill would further inflate the deficit."

November saw the unemployment rate fall slightly (an estimated .2 percent) and though that was a welcome surprise for economists, it still means a lot of folks need jobs. That said though, it's not like the TARP money was already spent - it was just an estimated cost. It's likely any jobs program will face a lot of criticism from those worried about a bulging federal deficit.

The President is expected to make an announcement tomorrow.

FROM THE NEWS BLOG: http://blogs.current.com/news/2009/12/07/will-tarp-cuts-mean-a-jobs-program-real...

SOURCES: http://online.wsj.com/article/SB126015764384079549.html
http://www.washingtonpost.com/wp-dyn/content/article/2009/12/04/AR2009120400572....

IMAGE: http://www.digitaljournal.com/article/282663
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2 comments // Will TARP cuts mean a jobs program? - Real Recovery

  • JohnA
    • 0
      JohnA  

    • The TARP money was specifically set up in the bill itself for banks and financial institutions. TARP money was illegally used by Bush and Obama to prop up GM and Chrysler. Any money paid back must go to pay the deficits the TARP created. Any other use is illegally by the TARP law. To use this for some kind of job program handout while our deficit continues to explode is illegal and definately unethical. That is not what this money was set aside for. We were supposed to be paid back for our TARP investments. Obama doesn't get to blow it however he wants.

    • 2 years ago
  • JonRaymond
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