Barack Obama to help nine million US households keep their home
Barack Obama has recently announced that £52.7 billion will be donated as part of a rescued package for households in the US in danger of repossession, the President said “Our housing crisis was born of eroding home values, but also of the erosion of many common values.
According to the US President, “Solving this enormous crisis will require more than resources, it will require all of us to take some responsibility”. This acknowledgment that the government must set some rules and the bank lending policy is extremely distorted is a breath of fresh air. The total amount of money dedicated to stabilising the US economy could reach as much as $275 billion which is just a staggering figure to try and comprehend. Fannie Mae and Freddie Mac are to rewrite mortgages which will hopefully kick start the rest of the country into actually paying back the money that they owe.
Additionally, the American Government have announced that they will be putting a lot of resources and money into building new developments around North America where some of the most poverished areas of the US are. This housing development is long overdue and there is a tremendous need for some new houses and new life into states such as Dakota and Detroit. I don’t think that the houses themselves will be littered with modern kitchens or even contemporary kitchens, just a basic dwelling to serve the purpose of housing homeless people around America.
Critics have argued that the new administration for the Barack Obama presidency has failed to live within its means, by putting together a $787 billion stimulus bill. The housing rescue plan was forecast to be in the region of $50 billion, but Democrats, including Barney Frank, the influencial chairman of the finance committee in the house of many well respected representatives, thought $100 billion was he amount needed.
President Obama Speaks About Insourcing Jobs
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