Our government spent as much money bailing out foreign firms as some countries spent on stabilizing their entire financial system. Much of the money in the $140 billion AIG bailout actually went to mismanaged foreign firms that dealt with AIG. The government also used that bailout to give billions to the Wall Street investment firm Goldman Sachs, an immensely rich and profitable company that didn’t even need the money. (While harming most banks, and the productive sectors of the economy, the recent financial reform bill will benefit politically-connected Goldman Sachs, which endorsed it. Goldman Sachs is one of the biggest donors to liberal politicians.)
Earlier, the Obama administration devoted $6 billion in taxpayer money to bailing out Greece, which ran into trouble because of generous pensions that let many occupations like hairdressers retire at age 50.
American workers are also suffering due to the stimulus package. It is using taxpayer subsidies to replace U.S. jobs with foreign green jobs. It also destroyed thousands of jobs in America’s export sector.
Reason magazine has an insightful article called “Five Lies About the American Economy.”