Where’s all our money going? It’s a simple question, but tracking money’s not a simple thing. For all the trillions that the Treasury and the Federal Reserve have been putting out there, our leaders seem pretty sanguine about how that money’s being spent.
Here’s an exchange with Democratic Senator Jon Tester of Montana and Fed Chairman Ben Bernanke on Tuesday about money from the Troubled Asset Relief Program.
Lester: "Somebody pointed out to me in the banking industry that the banks are not loaning this money out because they are using it to buy treasury notes with, which is an interesting concept, could you give me any insight into that…is that what's occurring? Is that what you're doing with the TARP dollars?
Bernanke: "Senator, the direct impact of the TARP dollars is to expand the capital bases of these companies which allows them to do all the activities that they do including lending."
So banks are using the billions that they get from TARP to buy U.S. Treasuries, which are issued by the Department of Treasury to pay for an $800 billion stimulus plan. Seems a bit circular, doesn’t it?
Bottom line is, our money’s being bled out of this Ponzi scheme in buckets. TARP monitor Elizabeth Warren found that $78 billion was lost from the first TARP program…That’s enough money to wipe out the fiscal deficits of California, New York, Florida, New Jersey and Connecticut, with $3 billion left over.
Meanwhile, lobbyists are swarming over D.C. right now in record numbers, trying to get rich quick off of your money.
Is there an Elizabeth Warren around to make sure that the extra $650 million spent on digital television doesn’t go to some friend or relative of a politician? Well, we’ll be watching.
“Scoreboard” considers it our duty and privilege to be your eyes to help keep track of your money. That’s why FOX Business sued the Treasury and the Fed for TARP info.
And that’s why we’re staying on top of the lobbying business in D.C. We really are keeping score for you.
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