1% of TARP > 100% of TANF

UMass Amherst economics professor Nancy Folbre comments in “Welfare for Bankers”:

Temporary Assistance to Needy Families (TANF) is our country’s only direct cash assistance program — the family welfare program that conservatives most love to hate. The Troubled Asset Relief Program (TARP) is the cash assistance program for failing banks put in place by the Bush administration and augmented by the Obama administration — a financial welfare program that nobody fully understands.

In 2007, the latest year for which figures are available, TANF spending on cash assistance (not including child care or other subsidies) came to $4.5 billion. Total commitments to TARP since September 2008 come to $700 billion. So one year of TANF spending equals less than 1 percent of TARP. Citibank alone received $25 billion, five times the cash transferred to mothers and children receiving public assistance in 2007.

Posted by James on Tuesday, April 21, 2009