Since Republicans know that wealth equals virtue, giving the wealthy more than they deserved simply makes them more virtuous. Doesn’t it?
Harvard econ Prof. Elizabeth Warren, testifying before a Senate Banking committee hearing underway now to judge the performance of the $700 billion bailout, said that the Treasury overpaid by $78 billion in its first round of investments into troubled banks.
Warren said that Treasury spent $254 billion to purchase assets whose actual value was only $176 billion, “a shortfall of about $78 billion,” she said.
Warren said Treasury failed to “price for risk,” and used a metaphor to explain: It’s as if Treasury was looking at 10 paintings and promised to pay $1 million for each, even though “one is a Picasso, one is a Rembrandt” and the other eight are not.
H/T Karen for the link.