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SHAUNV

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Believe It or Not, Bailout Won't Substantially Expand the Deficit

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The Treasury's plan to buy troubled assets has a $700 billion price tag, and it will mean a huge amount of government spending. However, due to accounting rules it likely won't have any effect on the 2009 budget deficit.

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{"commentId":3184541,"authorDomain":"SVForbes"}
"Taking the years 2009 onward as a whole, the TARP will likely have little direct effect on the long-run fiscal position. If one wants to worry about fiscal matters, the demographically-fueled entitlement problem will make the mortgage mess look like small beer," he said.
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  • 1 vote
Reply#1 - Sun Sep 28, 2008 11:38 AM EDT
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