Nope. They guessed. They just pulled a number out of thin air. They made it up.
In fact, some of the most basic details, including the $700 billion figure Treasury would use to buy up bad debt, are fuzzy.
“It’s not based on any particular data point,” a Treasury spokeswoman told Forbes.com Tuesday. “We just wanted to choose a really large number.”
This just gives me a fuzzy feeling about politicians in Washington. Perhaps somebody should peel them like a kiwi.
Read the Forbes article – Bad News For The Bailout and take a look at the LA Times also.
Michele Malkin has a series on the subprime lending crisis you should look at.