Kyros on 27 September 2008
@TheRealMafoo
I think that is not correct. The bailout money is not simply printed. There are very narrow rules for doing that. It would be added to the debt of the United States by issuing new bonds selling securities etc.
It is true that this is the taxpayers money. On the other hand if things work out well it is not lost and will be repaid. While they will loose quite a percentage of the 700b package should they do it, simply because lots of this debt IS bad, the government will most likely make a dollar on two by bailing out AIG, since they now effectively own the company.
On the other hand if the whole financial sector goes down in flames the money would be lost and added to the already huge deficit of the United States.
