Bank Rescue Quotes

Public anger over bank bailouts was as much about fairness as the billions of dollars spent.

Bailouts may have been more tolerable in the early 1990s when they were rare and their use for a failing bank was uncertain. That is no longer the case.

What can you do in order to save your own banks?

On any measure, Spain's bank rescue has been a disaster. A hundred million euros have been added to the national debt, ten-year bonds are at a record high and the country's credit rating has been downgraded three notches.

By the time Obama came into office, Washington had already agreed over a period of a few weeks to a $700 billion government infusion into the world banking system. Nothing of the sort had ever been done before, and it was done spit spot with very little national debate.

I passionately disagreed with Treasury Secretary Hank Paulson's plan to bail out the banks by using a public fund called the Troubled Asset Relief Program (TARP) to help banks take toxic assets off their balance sheets. I argued that it would be much better to put the money where the hole was and replenish the equity of the banks themselves.

Much of what Germany and France have done in the rescue of Greece has also helped German and French banks, who for a long time were major creditors for Greece and Greek banks.

In many cases, the Treasury will get preferred or convertible preferred stock for the money it gives to banks. These shares typically don't have voting rights, possibly to give more of a hands-off appearance to the government.

Both Mitt Romney and Newt Gingrich supported the Wall Street bailout.