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Obama Hurries toward Economical Solutions: The Bank Plan

Introduction

Prior to accepting his position as the President of the United States, Barack Obama knew he would have to change the current methods of the financial system on Wall Street². After taking office, President Obama claimed that the economic state would get worse before getting better but that his administrative team would be as transparent as possible to prove that they were working to a better economic environment for all Americans. In recent times, the American economy faces extraordinary challenges that require extraordinary actions. Obama has picked a select group of individuals to help him set forward a plan to fix the American economy. Although there are several factors that have pushed the American economy to its current devastating climate, one major factor that Obama and his political team face is the restoration of the financial system. Primarily, the toxic assets that the banking system has incurred over the past several years were areas of critical concern for uplifting the economy. Appointed as Treasury Secretary of State by President Obama, Timothy Geithner has introduced a US Treasury solution to the toxic assets on March 23, 2009 . The bank plan, known as Public Private Partnership Investment Program (PPPIP), was created as an economical solution by the Obama administrative team to help alleviate the struggles of the major banking entities that have arisen from bad lending decisions . Without access to credit, the US economy will not have the ability to progress and move forward. Instead, small businesses and individuals will have to struggle in providing financing for their activities. Along with other economic recovery initiatives, Geithner believes that restoring the financial markets will be based on the ability to help relieve the bad assets from major banks and have credit following again. Whether the PPPIP is truly economical for American tax...