The bailout program could be extended until next year but many feel that would create more problems than it would solve. The federal bailout program known as TARP (Troubled Asset Relief Program) has helped many institutions but those who have closely watched the program say there is too little specifications in accountability of bailout money given to corporations.
There has only been a little over $73 billion paid back from the initial $450 billion given from the TARP bailout and critics say that despite the use of taxpayer money for the bailout the taxpayer is not going to benefit much, if at all, from the program. In fact those who received the money will profit more than those who loaned the money. Also, the financial institutions that were said to be so big that they couldn’t fail are given solid ground from which, again, to work. If these poorly run institutions that almost toppled the economy aren’t regulated or at least made to have less of a traumatic effect on the economy then the TARP bailout is going to put them in the position to make the same mistakes again and possibly drive the economy into turmoil.
The TARP extension is up for debate but the benefits are clear and with some institutions getting so large that they have a tight hold on our economy more restrictions and guidelines need to be put in place so the exact use of the TARP bailout money will be tracked and any misuse can be avoided.
