The President’s chief economic advisor Larry Summers, who just the other day said the economy was rebounding because people were googling “economic depression” less, now says the President’s GDP growth predictions are “in doubt.” Economists have been skeptical as many have been since… the… beginning.

Summers reasoning as to why they are in doubt? Banks aren’t lending. Shocker there, we’ve had no evidence they ever would. WORST of all though, the Chief Watchdog of TARP is astounded and appalled that the Treasury isn’t paying any attention to how the financial institutions are spending the money we gave them. Why would they lend? They can use the money however they want and apparently no one is watching.

Finally, I have a question. If Summers claim that the banks aren’t loaning as they were supposed to, why then do we keep giving them more money?

Thus NOT avoiding the very thing Government bailouts were supposed to stop.

See: How will GM Bankruptcy impact US | GM holds a mirror to America | GM Canada to remain relatively unscathed | Structured bankruptcy wrongly hits many fronts

Well played Washington, well played.

We the taxpayers have handed $4 Billion more to General Motors. PLEASE can we end the bleeding already and just let this thing die?

Surprise! While you were expecting to wake up today and hear more about autobailouts the government decided to surprise us all with a bailout instead of Citigroup. Happy Thanksgiving!

Best of all this massive government bailout could result in a whole new institution, a bad bank where bad mortgages go! Think of it as the naughty chair in the corner of the Treasury where all those nasty mortgages will go until they have learned the error of their ways. If they don’t? Well Citi won’t have to worry about it, their terrible judgement will no longer be responsible for these ill conceived loans. That will be the taxpayers job!