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Essay's paper info
Topic: Business
Number of pages / Number of words: 4 / 931
Essay's paper body

The Treasury committed to invest as much as $200 billion to prevent a collapse of Fannie and Freddie, and said most of Fannie and Freddie's $1.7 trillion in unsecured debt and $3.5 trillion in mortgage guarantees will be recognized as federal obligations.

Issues:

  • In what ways can the budget be adjusted to a balanced state?
  • In what ways will government bail-out of Fannie and Freddie affect the economy?
  • To what extent should the government get involved in bailing out the private sector?
  • Under what circumstances private business should be bailed out by the government?
  • What affect did the corporate tax breaks have on the economy?

Opinions and Recommendations:

We believe that the president Bush was not correct in giving tax breaks to corporations and at the same time state taxes increased on middle class workers...


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For example in a recent interview Warren Buffet said his secretary pays more taxes than him (not the dollar amount the percentage of income). This has not only reduced tax revenue for the government, but also reduced spending power of Americans. This made the gap between rich and the poor wider and slowed down the economy as the GDP growth slowed down due to reduction in spending power...


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General points of the essay

U.S. Budget Deficit - Good or Bad? Deficit Spending: The Deficit Good Or Bad Fannie Mae Fraud Fannie Mae ? Stock Performance Analysis Fannie Mae case Fannie Mae Germany- To Invest or Not to Invest National Debt and Budget Deficit The Budgetary System Of Bangladesh & Remedies To Overcome Budget Deficit The Collapse Of Fannie Mae And Freddie Mac The Fannie Scandal U.S. Federal Budget Deficit Budget Deficit & National Debt Freddie Prinze Jr. budget deficit

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