BlogWonks

Did you know that the Obama administration has potentially put us on the hook for 24 trillion dollars to complete the buyout of troubled assets from the financial sector?

Barofsky told us that the Treasury Department “is not being transparent with respect to the TARP,” the $700 billion in funds (and more) the government is using as loans and bailouts to help stabilize the financial markets. “They’ve failed to adopt some very basic recommendations we’ve had toward transparency,” he said.

Called the “SIGTARP,” Barofsky appeared before Congress this week and told them that the government’s commitment to fix the financial system could potentially reach $23.7 trillion, and criticized the Treasury Department for calling his team’s estimate “inflated.”

“I think that the Treasury Department ought to read the report before they make comments, at least the spokesperson’s office,” Barofsky said. “Our methodology is laid out in black and white in the report. … As far as the numbers being inflated, where do you think we got the numbers from? We got it from the Treasury Department, we got it from the Federal Reserve. … If these numbers are inflated, it’s because they inflated them when they put them out in the public, not because of us.” …

“Perhaps their criticism is that we dare to do math,” he said. He added that his team tried to convince the Treasury that they were wrong, and that recipients should be required to report on how they use the federal funds, and those should be shown to the American people so that they know it’s “not being thrown into a black hole.”

Yes, 24 trillion dollars folks. That’s twice the GDP of the United States. Do you have any idea how devastating it would be to the economy of the United States to add that amount of debt to our budget deficit?  We’re already screwed, and our deficit is something like 1.6 trillion dollars. Imagine bumping that up by 2o times. Mark my words, Obama is going to completely destroy this nation and we will never recover from his administration if we don’t work as hard as we can to stop him now.