bailout 2
so how exactly did the bailout process work? i borrow money from uncle sam at 1% interest rate or less. then i invest it. a smart investment would be t-bills. which pay 3% interest. voila! free money. or i could throw it at higher payoff but riskier investments. this is business as usual for a venture capitalist. the idea is that the few winners win so much they more than pay off the many losers. and you walk away with a fortune. ah but the bailout plan has a clever twist. the money that i borrowed to give to a company that cratered and lost it all doesn't have to be paid back to the government. pretty cool huh? the venture capitalist can walk off with the profit from the winners and hand the losses from the losers to the government. the government of the people (meaning you), by the people (meaning me suckering you), and for the people (meaning me).