GAO audit: Fed bailouts came to $1 trillion
The GAO audit of the Fed's bailouts is out.
From late 2007 through mid-2010, Reserve Banks provided more than a trillion dollars in emergency loans to the financialsector to address strains in credit markets and to avert failures of individual institutions believed to be a threat to the stability of the financialsystem. The scale and nature of this assistance amounted to anunprecedented expansion of the Federal Reserve System’s traditionalrole as lender-of-last-resort to depository institutions.
Even if you believe the Fed's extraordinary actions were necessary, as you should, it's hard to disagree with Vermont Sen. Bernie Sanders, who said, "This is a clear case of socialism for the rich and rugged, you’re-on-your-own individualism for everyone else.”
HT Big Picture.