$700 B Bailout

[12thMan]

Originally Posted by FRPLG

I don't understand why we have to BUY all the bad loans. Why can't the gov't just insure the bad loans? Seems like that'd be more cost effective?

Well one of the issues they're having is actually pricing the bad loans. In other words determining how much they're worth or how worthless they are. So from an accounting standpoint it's tough to add that type of asset to your sheets.

Their are all types of challenges with this crap.