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David Walker - $55 Trillion Dollar Hole = $480,000 per Household as of October 10th

dicktater's picture
Submitted by dicktater on Thu, 2008-10-16 04:08.

The $480,000 per household will continue to accrue as nothing will ever be applied against the principal and interest continously compounds the debt. And now this:

Total Bailout Cost Heads Towards $5 TRILLION
Numbers becoming meaningless as Paulson defends government intervention
Wednesday, Oct 15, 2008
(article and link follows video)


Total Bailout Cost Heads Towards $5 TRILLION
Numbers becoming meaningless as Paulson defends government intervention

Steve Watson
Infowars.net
Wednesday, Oct 15, 2008

The total potential cost of the financial bailout to the U.S. taxpayer is already rapidly approaching $5 trillion, over seven times as much as the meaningless $700 billion bailout bill figure.

Analysts have previously marked out the $5 trillion figure as the actual cost, now those predictions are becoming demonstratively accurate.

Meanwhile, Hank Paulson has defended government intervention, stating "There's no doubt that the way to get the maximum bang for the taxpayers here was to invest in banks."

Based on this Reuters summary and the sources linked within the table, here is a breakdown of the bailout's cost to taxpayers so far.

Bailout
Type
 Cost
To Taxpayers
$300 billion
$250billion
$25 billion
$150 billion
$700
billion+
$29
billion
$200
billion
$85
billion (+ extra request of $35 billion)
$300
billion
$4
billion
$87
billion
$200
billion+
$50
billion
$144
billion
POSSIBLE
TOTAL		 $2.56
trillion+
NUMBER
OF HOUSEHOLDS PER
U.S. CENSUS		 105,480,101
POSSIBLE
COST PER HOUSEHOLD
$24,269

In addition, the U.S. government has said it will temporarily guarantee $1.5 trillion (£856 billion) in new senior debt issued by banks, as well as insure $500 billion (£285 billion) in deposits in non-interest accounts, mainly used by businesses.

These figures take the potential cost to $4.559 trillion+ - or $43, 221 per household.

Furthermore, when you account for the fact that the credit default swap market is around $62 trillion, and that derivatives worldwide are worth between between $1 and $2 quadrillion, the numbers start to become meaningless.

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