Good article on CNN Money re: the Bailout

[Coexist]

Key provisions of the bill

Doling the money out: The $700 billion would be disbursed in stages, with $250 billion made available immediately for the Treasury's use. Authority to use the money would expire on Dec. 31, 2009, unless Congress certifies a one-year extension.

Protecting taxpayers: The ultimate cost to the taxpayer is not expected to be near the amount the Treasury invests in the program. That's because the government would buy assets that have underlying value.

If the Treasury pays fair market value - which investors have had a hard time determining - taxpayers stand a chance to break even or even make a profit if those assets throw off income or appreciate in value by the time the government sells them. If it overpays for the assets, the government could be left with a net loss but would get something back on the open market for the assets when it eventually sells them.

If it ends up with a net loss, however, the bill says the president must propose legislation to recoup money from the financial industry if the rescue plan results in net losses to taxpayers five years after the plan is enacted.

In addition, Treasury would be allowed to take ownership stakes in participating companies.

the rest

[FrenchieCat]

1. This one is what will keep us where we need to be.....

Doling the money out: The $700 billion would be disbursed in stages, with $250 billion made available immediately for the Treasury's use. Authority to use the money would expire on Dec. 31, 2009, unless Congress certifies a one-year extension.

By then, we'll have a new President. :)

[Coexist]

2. exactly.

[Beetwasher]

4. Yep! GOOD JOB DEMS!!!

A bit now, more later if necessary, but by then, we'll be in a MUCH better position to reevaluate the situation.

[1corona4u]

5. Too bad all the hand wringers are too busy bitching about it...

to see this...

[1corona4u]

3. Also, Obama already said where he would get the money

to help pay for it, and it wasn't from middle class america. I think people are really freaking out too soon. Let's wait and see where the other shoe drops before we jump to conclusions. We need to keep in mind that Obama will get us back on track too, regardless of this bill.

[RichGirl]

6. Well...most people are only reacting to the sound bite....

...that we are rewarding the greedy people who did this. Whatever. It is what it is and needs to be fixed. I'm just glad that the grown ups will be in charge soon.

[1corona4u]

7. Me too.

[Coexist]

12. I trust him, just go to Economists For Obama and check out all the smart people he's got with him

[smiley_glad_hands]

8. Obama has my trust and faith on this. eom

[Coexist]

9. me too.

[jefferson_dem]

13. Mine too.

:thumbsup:

[iiibbb]

15. Me too. Obama is my leader for better or for worse.

[jwirr]

10. This sounds much better with gradual payout and a policy to recoup the

money if there is a loss to taxpayers.

[msallied]

11. I'm kicking and recommending this!!

And I'm very happy with the bill as it stands. Sure is better than doing nothing!

[msallied]

14. This keeps sinking like a rock. I'm kicking it again.

[1corona4u]

18. I'll kick it too....and I will add....

someone is bitching that it doesn't include a provision for forclosures in BK, but if I remember right, they said that THAT would be a part of the BK reform bill, which would be separate.

[vanderBeth]

16. This isn't my ideal plan, but it's a whole lot better.

I am agreeing with Obama on this one.

[endthewar]

17. $250 billion thing is misleading.

MSNBC had a House Democrat (forget his name) who was talking about this. He described it as something that is aesthetically pleasing in the bill but would in effect not work at all.

[ClarkUSA]

19. This plan will produce returns on taxpayers' investment within five years.

Mark these words. Oh, and according to news reports this morning, the initial release of monies will be
$350B, not $250B, as reported in the story. And the total amount might get trimmed down from $700B,
as both sides of the aisle are queasy and would like to claim that they did something proactive to restrain
the bailout outlay.