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There were winners and losers, but the government made money on TARP. That doesn't fit anyone's narrative very well, so you don't hear that much about it, but i
by jeremyjh 4y ago
There were winners and losers, but the government made money on TARP. That doesn't fit anyone's narrative very well, so you don't hear that much about it, but its a fact. So far not a public dollar has been lost in the current crisis. FDIC, like other insurance, is paid for by the insured. Every FDIC bank in the country is paying the cost of this.
https://en.wikipedia.org/wiki/Troubled_Asset_Relief_Program https://en.wikipedia.org/wiki/Troubled_Asset_Relief_Program
- haldujai 4y agoNominally yes, but not when you consider borrowing cost and effects on deficit. The CBO has TARP costing 31 billion. [0] FDIC is paid by the banks but it seems probable it will be passed down to customers in banking fees at the end of the day. [0] https://www.cbo.gov/publication/59062 https://www.cbo.gov/publication/59062
- DSMan195276 4y agoThe problem with those numbers is that TARP lost money if you account for inflation over that period. That said the point wasn't to make the government money anyway, so whether that matters is up to you.
- deleted 4y ago[deleted]