Wednesday, November 19, 2008

Holes In TARP Hurting Market Confidence -- CNBC.com

"'Slush fund' ... 'banana republic' ... 'Keystone Kops.'

That's how some observers are describing the government's effort to stabilize the financial system, including its centerpiece rescue mechanism, known as the TARP (Troubled Asset Relief Program)...

...'It's hard to escape the feeling that the majority in the Congress are paying off a strong constituency that helped them enormously in the last election," says former ten-term Republican congressman Bill Frenzel, now with the Brookings Institution. "You are seeing the Congress in a role people hate to see it in—responding to powerful constituencies rather than going after solving the problem.'"

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