US Treasury Secretary Timothy Geithner faces a second day of tough questioning on Capitol Hill after the Obama administration’s bailout plan left investors and lawmakers disappointed. Senators are urging Geithner to provide more details about the administration efforts to pump up to $2 trillion into the financial system in an effort to bolster ailing banks and spur more lending.
Republican Jeff Sessions of Alabama says: Many of us were looking forward to a plan that could be presented in a straightforward,clear and detailed way. Unfortunately,that is not what we received yesterday.
Democrat Kent Conrad of North Dakota pressed Geithner for more information on the administrations plans to address the housing bust and how much money its overall rescue plan will cost.
Geithner on Wednesday said bold action is necessary to halt a financial crisis that had dragged the US economy into deep recession.
A failure to act with force and speed would be much more costly to the families and businesses across the country, he said in testimony before the Senate Budget Committee.