“U.S. Declares Bank and Auto Bailouts Over, and Profitable”
The New York Times, December 20, 2014, p.B1
“Six years after President George W. Bush began the auto bailout, the Obama administration on Friday declared a profitable end to the sweeping federal interventions in Wall Street and Detroit, saying a final sale of stock from General Motors’ former finance arm had closed a turbulent chapter of the financial crisis. … The government actions, initially seen as necessary in Washington and on Wall Street to prevent a collapse of the economy on the order of the Great Depression, agitated the political world, helping give rise to the Tea Party movement on the right and the Occupy Wall Street movement on the left. And even as the nation climbed out of recession and slowly recovered, many Americans were left with little trust in the nation’s government and financial institutions. Tea Party, to many of its foot soldiers, stood for Taxed Enough Already, and the bailouts were assumed to be enormous drains on the federal Treasury. Yet in the end, the Troubled Asset Relief Program and the Detroit bailout yielded $15.35 billion in profit, Treasury officials said Friday. … The financial crisis and its bailouts were the defining political moment of the last decade. First they put President Obama in office. But they swept into power a new, populist right in 2010, not only in Congress but in state legislatures that redrew political boundaries to lock those gains in place for years … The capital markets have recovered. Gas prices have plummeted and job growth is on a steady rise. But the political scars remain indelible, reflected in a politically polarized nation and the dysfunctional Congress it has elected.”
Quickie Analysis: Somehow I bet Fox News managed to bury this story.