Friday, March 06, 2009
Wealthy private investors jawboned to join in bailout, with trillions
The Obama administration will invite wealthy investors to enter government-private partnerships to provide more money to loosen consumer lending and stimulate rehiring of people into jobs, The Washington Post reports on the front page today, Friday, May 6. The title of the story is “U.S. to Invite the Wealthy to Invest in the Bailout,” link here.
An obvious idea would be to target the partnerships to the most troubling areas, like the auto industry, perhaps to answer auditors’ concerns that GM will not be able to meet the benchmarks to stay in business by March 31.
The idea seems motivated by conservative and libertarian suggestions that the private sector should do as much as possible to help itself. The idea could make a huge difference in how much additional public debt is passed on to succeeding generations by all these bailouts.