Bailouts

Geithner's Plan

It seems Treasury Secretary Timothy Geithner truly has a plan he can call his own: According to The New York Times, Geithner succeeded in opposing some of Obama’s top aides, including David Axelrod, in mandating how banks will spend their new bailout dollars. The Wall Street Journal, meanwhile, reports “many U.S. banks will be subjected to rigorous examinations to see if they are healthy enough to lend before receiving additional financial aid.” Geithner’s plan will include fresh capital injections into troubled banks; aid to help struggling homeowners refinance their mortgages; and a public-private partnership to take toxic assets off banks' hands. The Washington Post says the total cost could reach $1.5 trillion.