The bailouts continue

Most people think that the Wall Street bailouts ended at least a year ago. They would be wrong.

(Reuters) - Increased housing commitments swelled U.S. taxpayers' total support for the financial system by $700 billion in the past year to around $3.7 trillion, a government watchdog said on Wednesday.
The Special Inspector General for the Troubled Asset Relief Program said the increase was due largely to the government's pledges to supply capital to Fannie Mae (FNMA.OB) and Freddie Mac (FMCC.OB) and to guarantee more mortgages to the support the housing market.
Increased guarantees for loans backed by the Federal Housing Administration, the Government National Mortgage Association and the Veterans administration increased the government's commitments by $512.4 billion alone in the year to June 30, according to the report.
"Indeed, the current outstanding balance of overall Federal support for the nation's financial system...has actually increased more than 23% over the past year, from approximately $3.0 trillion to $3.7 trillion -- the equivalent of a fully deployed TARP program -- largely without congressional action, even as the banking crisis has, by most measures, abated from its most acute phases," the TARP inspector general, Neil Barofsky, wrote in the report.

So Congress nearly comes to a standstill over $33 Billion for unemployment extensions, but there isn't even a debate over $700 Billion for Wall Street.

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it's positively disgusting

I think this is the common ground of the people. Everyone is outraged over the corporate giveaway while the people go without jobs and income. Unfortunately the solutions so often, at least on the pundit channel, are worse than the cause.

When will the American people start organizing into one common ground whole to take back our government? It's continually fractured with wedge and other nonsensical issues to make sure the corporate welfare/corporate control system stays intact.

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Why so surprised?

In light of the extensive contributions made by the financial industry to both parties in Congress I am not sure why anyone would be surprised that there was no heistation in passing along more taxpayer dollars to Wall Street.

Since the unemployed cannot give millions (billions) of dollars to elected officials they have no recourse.

Thomas Jefferson (et al) in the Declaration of Independence stated that when government becomes destructive to the pursuit of life, liberty and happiness it is the right and in fact obligation of the people to throw off that government. Of course, there are very few people who know this as it is not in line with k-12 education goals.

The Constitution is no longer a valid document for the common people.

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GM using bail out funds to buy Americredit (subprime auto)

Richard Smith, keeper of the Naked Capitalism while Yves Smith is having a holiday, just caught something in a press release and wrote it up. I saw this too but he's got the juice.

Bankrupt GM uses $3.5 billion of taxpayers’ money to buy subprime auto lender Americredit and signal a return to the good old days for Wall Street .

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