bailout

A bailout is an attempt to control market conditions by an infusion of tax dollars into the market. Typically, a bailout refers to corporate bailouts, which is the transference of tax dollars to private corporations as a means of foregoing bankruptcy.

The primary function of a bailout is to improve the liquidity of currency throughout global credit markets, which allows banks and corporations to lend and encourages consumers to buy. Without adequate liquidity, however, banks and corporation cease lending to consumers and invariably to other banks.

Those who oppose bailouts, however, suggest that the practice interferes with the natural tendencies of market conditions, and rewards failed corporations with tax-payer dollars.

Conversely, those who support bailouts argue that they function as a necessary safeguard to prevent the systemic collapse of financial markets.

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Original Technorati articles tagged “bailout”

• in Finance
  Finance Chiefs Meet To Discuss Greek Aid, Bailout Extension
  Reports show a draft document to be shown to policy makers makes a recommendation that Athens be allowed two-years to hit budget targets.
  by betandbingo / on Nov 13, 2012
• in Politics
  In Effort to Reduce Spending, Greece Eliminates Press Ministry's 'Secret Fund' Used for Propaganda
  The Greek government has announced that a secret fund reserved for propaganda has been axed from the budget.
  by clairethebear88 / on Aug 24, 2011
• in Lifestyle
  The Cure for Cancer Has Been Found and is Purposely Being Ignored
  Researchers at the University of Alberta have discovered a simple cure for cancer but pharmaceutical companies aren't producing it.
  by clairethebear88 / on May 14, 2011

Latest blogosphere posts tagged “bailout”

 

• CREDIT SUISSE: Portugal Will Soon Need More Money And A Bailout Isn’t The Best Solution

  
  InvestmentWatch: Emerging markets, Real Estate, Personal finance, Business management, Politics, Economics — Authority: 556
  Portugal, which is entering the last year of a three-year European Union aid program, will likely need further help from Europe at a time when core countries in the region, such as Germany, are fast losing enthusiasm about providing financing to ailing peripheral nations.   The most likely solution to this problem, ...
  1 week ago

• Former Pakistan PM Nawaz Sharif declares victory in historic poll

  
  — Authority:
  The results, which need to be officially confirmed, indicated Sharif’s party has an overwhelming lead but would fall short of winning a majority of the 272 directly elected national assembly seats. See more here: Former Pakistan PM Nawaz Sharif declares victory in historic poll
  1 week ago

• U.K. Bank Chief Quits Amid Bailout Fears

  
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  The Co-operative Banking Group said its chief executive would step down hours after the bank was downgraded to junk status by Moody’s Investor Services, stoking fears it could require a government bailout. WSJ.com: Management
  1 week ago

• David Stockman w Jon Stewart (video) and Plutos Deformation

  
  — Authority:
  David Stockman, former congressman and budget director for Ronald Reagan, has done our nation a tremendous service with his book The Great Deformation: The Corruption of Capitalism in America.Astrologers will recognize (and many have written the last few years on the topic) that transformative, destructuring Pluto, ...
  1 week ago

• Jamie Dimon Love Festival Starring Maria Bartiromo

  
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  DIMON PUBLIC RELATIONS Titans Declare: Jamie Dimon Is The Greatest Of All Time The actual CNBC fellatio doesnt begin until Maria starts talking to her guests at 2:45, though the obsequious quotes from famous CEOs regarding Dimon and JPMorgan that precede her blowjob, should not be missed. This one is a classic, ...
  1 week ago

• Fannie Mae To Pay Treasury $59 Billion After Record Profit

  
  — Authority:
  Fannie Mae to Pay Treasury $59.4 Billion After Record Profit | bloomberg.com/news/2013-05-0… — Daily Bail (@TheDailyBail) May 10, 2013 READ THE STORY AT BLOOMBERG After this latest payment, Fannie Mae will have paid back Treasury a total of $95 billion, compared with $117 billion of capital infusions ...
  1 week ago

• TARP Bank Exec Pleads Guilty To Bank Fraud Conspiracy

  
  — Authority:
  SIGTARP CHRISTY ROMERO Former senior officer at TARP bank Wilmington Trust pleads guilty to bank fraud conspiracy, go.usa.gov/TA3Q . — SIGTARP (@SIGTARP) May 8, 2013 READ THE SIGTARP PRESS RELEASE     Romero leads SIGTARP’s staff of federal agents, attorneys, investigators, and auditors ...
  1 week ago

• The Bank Run Excuse For Bailouts...Was Officially Bullshit

  
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  About That Bank Run Excuse For Bailouts... --- By John Titus, Creator of Bailout R ecently, while researching historical causes of bank failures, we came across a scholarly economics paper that proves the justifications for bailouts, and those for TARP in particular, are an even bigger crock of shit than the ...
  1 week ago

• Bailed-Out Banks Paying Back TARP With Govt Money

  
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  THIS IS NOT A POSITIVE DEVELOPMENT Paying your Visa bill with your MasterCard.   --- Banks Used Two Billion In Govt Loans To Repay TARP SIGTARP REPORT EXPOSES BAILED-OUT BANKS An Obama administration program is under fire, with federal investigators finding that community banks used government funds to ...
  1 week ago

• Greece: Three years after the bailout

  
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  By Mark Thompson Its been three years since Greece was granted 110 billion euros in the first of two bailouts by its EU partners and the International Monetary Fund. Harsh austerity measures have driven the economy into the ground since then. Unemployment has soared. More than 6 in 10 young workers are out of a job. ...
  1 week ago

• The Economist on “the muddle-headed world of American public pension accounting”

  
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  As state governments across the nation struggle to address a public pension underfunding crisis they can no longer deny, The Economist is the latest major news outlet to turn its gaze on the ongoing debacle. In the current issue, the magazine’s “Buttonwood” column draws a sketch of U.S. public pension ...
  1 week ago

• I Would Like My Bailout in Bacon

  
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  Satire, politics, geekery, and dogs... “Welcome to the blogroll.”—David Burge, Iowahawk “Wesley pokes the Left in the eye with a little boy smile. It’s wonderful to watch them laughing, and then realize that they’re laughing at themselves, and then look around the room to see if anyone ...
  1 week ago

• Feeling rich through debt: Modern banking has replaced real economic prosperity with massive levels of debt. Housing affordability reaches multi-decade highs while household incomes retreat to 1990s levels.

  
  My Budget 360 — Authority: 579
  One of the biggest headlines right now is how the housing market is pulling the entire market up.  Housing prices are soaring while the stock market is making record highs.  Yet a large portion of the housing run-up is being caused by easy money that has been created by the Federal Reserve.  Banks are out-bidding ...
  1 week ago

• France - License to Print

  
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  The European Central Bank (ECB) sets no limits in Paris to save its banking system. Bonds of any quality, it says, can in fact be minted into euro beyond the Alps. The euro speaks French. While Cyprus suffers the compulsory levy on current accounts, ECB President Mario Draghi grants a special permit to Paris in ...
  1 week ago

• What did he mean by that?

  
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  “What did he mean by that?” 19th century Austrian diplomat Metternich is said to have asked of  Talleyrand when he heard the French statesman had died. The euro zone crisis, and the response of its leaders, has often required the same question to be asked. There were some carefully chosen words from Germany ...
  1 week ago

• IMF reopened the debate over Greece bailout

  
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  Outlook: Analysts say the dollar was firm yesterday because the payrolls report was so good last Friday, as though that’s the way FX traders think: good data, higher currency. But in practice, it doesn’t work that way, at least not when it comes to the dollar. Far more important than data is the effect the data ...
  1 week ago

• Just another government bailout

  
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  By Mustang Bobby Remember how a lot of people said that bailing out the auto industry was a waste of money and that we should let Detroit go bankrupt ? Yeah, how’d that work out , anyway? Today, the U.S. Department of the Treasury announced the next step in its plan to sell its approximately 241.7 million ...
  2 weeks ago

• GM recalls 1.5 million vehicles| Flaming windshield wiper heater

  
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  A GM recall of 1.5 million vehicles for a wiper fluid heater system thats prone to fires is the second attempt to solve the same problem. Flickr photo. A GM recall of 1.5 million vehicles worldwide was announced Tuesday. The GM recall issue is a defect in a heated windshield wiper fluid system that has caught fire ...
  2 weeks ago

• Bill Cohan: Goldman Sachs Will Never Be Allowed To Fail

  
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  UNDER NO CIRCUMSTANCES Theyre not going to let Goldman go down the tubes. Lloyd Blankfein talks about deflation and too big to fail banks (Washington, May 3). -- Notable Points Discussion of Goldmans 1994 bankruptcy scare at 1:30. Blankfein on too big to fail at 3:10. His answer is basically ...
  2 weeks ago

• Neofeudalism? In YOUR Nonprofit? (It’s more likely than you think)

  
  The Wild Woman's Guide to Fundraising — Authority: 129
                Are you looking to hire someone in your nonprofit? Are you considering different resumes, and thinking about “should we hire this person who has been unemployed for awhile, or someone who has a job currently?” Here’s the startling truth about long-term unemployed people. Paul ...
  2 weeks ago

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