by Frank James
The list of entities who want a piece of the $700 billion bailout fund just keeps grows larger.
Cities have now joined auto makers and banks in reaching out to the Treasury Department for financial assistance from the Troubled Assets Relief Program (TARP) fund.
It's another sign of how much financial stress exists across the nation, in both the private and public sectors. It also would seem to suggest that what's needed at this stage is something far bolder in the way of fiscal stimulus since severe austerity measures in the form of job cuts by cities and states will only add to downward pressure on the overall economy delaying any recovery.
Here's the top of an Associated Press report:
WASHINGTON (AP) _ Three big city mayors asked the federal government Friday to use a portion of the $700 billion financial bailout to assist struggling cities.
They sought help with the pension costs, infrastructure investment and cash-flow problems stemming from the global financial crisis.
The mayors -- Michael Nutter of Philadelphia, Shirley Franklin of Atlanta and Phil Gordon of Phoenix -- made their request in a letter to Treasury Secretary Henry Paulson.
Nutter said cities are facing an economic crisis not seen since the Depression and need help just like financial institutions...
Comments
Who are these "nation's mayors" (as the photo caption labels them)?
Only three mayors. All Democrats. Trying to grab someone else's money for themselves.
Posted by: Regime Change | November 14, 2008 5:23 PM
Get in line America--
Posted by: Inky | November 14, 2008 7:31 PM
Why don't the mayors try cutting some of their budgets first. They live high on the hog during the good-times, expanding gov't and then when times go south, they come with a handout instead of doing the tough job and cutting their budgets.
Posted by: Terry | November 14, 2008 8:17 PM
I need a bailout too. I'm not greedy, just one million dollars would be enough.
Posted by: MJ | November 15, 2008 11:51 AM