Emergency Economic Stabilization Act of 2008 - Explained
What is the Emergency Economic Stabilization Act of 2008?
Written by Jason Gordon
Updated at April 24th, 2022
- Marketing, Advertising, Sales & PR
- Accounting, Taxation, and Reporting
- Professionalism & Career Development
-
Law, Transactions, & Risk Management
Government, Legal System, Administrative Law, & Constitutional Law Legal Disputes - Civil & Criminal Law Agency Law HR, Employment, Labor, & Discrimination Business Entities, Corporate Governance & Ownership Business Transactions, Antitrust, & Securities Law Real Estate, Personal, & Intellectual Property Commercial Law: Contract, Payments, Security Interests, & Bankruptcy Consumer Protection Insurance & Risk Management Immigration Law Environmental Protection Law Inheritance, Estates, and Trusts
- Business Management & Operations
- Economics, Finance, & Analytics
- Courses
Table of Contents
What is the Emergency Economic Stabilization Act of 2008 (EESA)?History of the Emergency Economic Stabilization Act (EESA)Academic Research on the Emergency Economic Stabilization Act of 2008What is the Emergency Economic Stabilization Act of 2008 (EESA)?
In 2008, Congress took bailout measures to repair the damage from the subprime mortgage crisis and passed the EESA. This authorized the government to buy out $700 billion in troubled assets from banks and to stabilize liquidity in financial markets.
Back to:ECONOMIC ANALYSIS & MONETARY POLICY
History of the Emergency Economic Stabilization Act (EESA)
In the wake of subprime mortgage crisis the U.S senator Henry Paulson propose Emergency Economic Stabilizing Act (EESA). However, the original EESA was rejected by house of representative. They amended the act and then adopted the revised EESA in 2008. But the debate start whether it will really work to repair the damage. Proponents of EESA believed that the act will help to recover the losses and reduced the damages of subprime mortgage. The US Government began purchasing troubled assets on the terms and conditions proposed by secretary of Treasury. The total bailout amount was $700 billion. The bailout aimed to protect home mortgages, social security funds, employee retirement funds; pension savings; preserve and protect homeownership; promote jobs and economic growth and economic development; cut unemployment rate; maximize overall returns to the taxpayers of the United States; and provide public accountability for the exercise of such authority.
Related Topics
- Feedback Rule Policy
- American Customer Satisfaction Index
- CNN Effect
- Bureau of Economic Analysis
- Business Starts Index
- American Recover and Reinvestment Act
- Abenomics
- Emergency Economic Stabilization Act of 2008
- Commodity Credit Corporation
- Humphrey Hawkins Act