Now that Congress has failed to come to terms on the automaker bailout, it looks like the Bush administration will dig into taxpayer pockets soon.
It appears that we're in for another session of non-stop money-printing. Chrysler and GM have asked for $15B, yet Bush appears to be preparing to hand out as much as $40B.
John D. McKinnon, Deborah Solomon and Jeffrey McCracken wrote on 12/15/2008:
"The administration is trying to determine how much money it will take to help the car companies, and is discussing a rescue totaling $10 billion to $40 billion or more.
One possible source of funding is the Treasury Department's $700 billion fund set up to rescue the financial industry. Only about $15 billion remains uncommitted from the first tranche of $350 billion, so the Bush administration could be forced to request the second half to cover the car companies' needs, people familiar with the situation said.
That likely would compel the administration to outline its plans for a range of other needs, including foreclosure prevention for struggling homeowners and possibly aid for state and local governments. That could spark another confrontation with lawmakers, who are increasingly divided over industry bailouts. Senate Republicans blocked a proposed bailout for the auto makers last week."