Cost Of Bailout Hits $8.5 Trillion-Total sum represents 60 per cent of GDP
By Daniel at 26 November, 2008, 11:07 pm
Paul Joseph Watson
Prison Planet.com
Wednesday, November 26, 2008
The total cost of funds committed to the bailout in its various guises has now hit $8.5 trillion dollars, up from $7.7 trillion in just two days after the federal government committed an additional $800 billion to two new loan programs on Tuesday.
The total amount of funds now committed equals a figure that represents 60 per cent of the U.S. gross domestic product.
Millions of Americans with savings accounts and pensions will ultimately pay the price because, as the San Francisco Chronicle admits today, “The Fed lends money from its own balance sheet or by essentially creating new money.”
You’ll also find this little snippet in the article, “Most of the money, about $5.5 trillion, comes from the Federal Reserve, which as an independent entity does not need congressional approval to lend money to banks or, in “unusual and exigent circumstances,” to other financial institutions.
Just another reminder that the private, run for profit, Federal Reserve has the printing presses cranked on overdrive in order to bailout Wall Street and the big banks, while the homeowner and the middle class see their savings devalued out of existence.
“If you print money all the time, the money becomes worth less,” warns Diane Lim Rogers, chief economist with the Concord Coalition, but its an empty threat to delirious traders and investors drunk on a record stock market rally after the government pumped more fake liquidity into the bloated bubble.
Veteran investor Jim Rogers echoed the sentiment, predicting the dollar is “going to lose its status as the world’s reserve currency,” adding, “It will be devalued and it will go down a lot. These guys in Washington, they want to debase the currency.”
“They think that if you drive down the value of your money, it makes you more competitive, now that has never worked in history in the long term,” said Rogers.
http://www.prisonplanet.com/cost-of-bailout-hits-85-trillion.html
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