Treasury Secretary Paulson’s Statement Sept 19, 2008
Friday, September 19th, 2008Below is Henry Paulson’s statement published today that explains at least part of the problem and action the Treasury and the fed will be taking. Please note that the Paulson’s describes the steps that fed will be taking as tactical. There is no hint of a strategy to deal with the root cause of the meltdown.
September 19, 2008
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Statement by Secretary Henry M. Paulson, Jr. on Comprehensive Approach to Market Developments
Washington, DC– Last night, Federal Reserve Chairman Ben Bernanke, SEC Chairman Chris Cox and I had a lengthy and productive working session with Congressional leaders. We began a substantive discussion on the need for a comprehensive approach to relieving the stresses on our financial institutions and markets.
We have acted on a case-by-case basis in recent weeks, addressing problems at Fannie Mae and Freddie Mac, working with market participants to prepare for the failure of Lehman Brothers, and lending to AIG so it can sell some of its assets in an orderly manner. And this morning we’ve taken a number of powerful tactical steps . . . more