Daily News Article - October 14, 2008
1. Define the following terms as used in the article:
capital (para. 1)
free market (para. 2)
assets (para. 3)
2. What measures are included in the new plan President Bush presented today?
3. What is the purpose of the new steps that will be taken? Be specific.
4. How did President Bush and Treasury Secretary Henry Paulson address the concern that this government intervention is interfering in the free market?
5. Mr. Paulson also said it is vital that the major banks receiving government money should "not take this new capital to hoard it, but to deploy it."
a) Define hoard and deploy.
b) How do you think the Government should ensure that the banks receiving government money deploy it?
6. How did the U.S. financial markets respond to President Bush's announcement on the bailout for banks?
7. President Bush said that the government's purchase of equity shares in U.S. banks are a "short term measure." When will the government sell the banks' shares back to the banks?