Changes

Billionaire [[Warren Buffett]], former Federal Reserve Chairman Paul Volcker, and former Clinton Treasury Secretary [[Robert Rubin]] constituted Obama's transition team of Economic Advisers.<ref>[ http://www.bloomberg.com/apps/news?pid=20601110&sid=aSzNv81CYh0c Obama to Meet With Buffett, Daley, Economic Advisers], Bloomberg, Nov. 6 2008.</ref>  Rubin was being sharply criticized for his role in the collapse of [[Citigroup]] which needed $45 billion in federal [[bailout]] money.<ref>[http://www.reuters.com/article/topNews/idUSN0930738020090109 Robert Rubin quits Citigroup amid criticism], Reuters, Jan 9, 2009</ref>  Buffett, after the inauguration, spoke out against the administration's declared objective of not allowing "a crisis to go to waste" [http://www.swamppolitics.com/news/politics/blog/2009/03/buffett_hits_obama_congress_on.html] and Obama's massive tax increase on the needy and those least able to afford it. [http://greeninc.blogs.nytimes.com/2009/03/09/buffett-cap-and-trade-is-a-regressive-tax/]

Billionaire [[Warren Buffett]], former Federal Reserve Chairman Paul Volcker, and former Clinton Treasury Secretary [[Robert Rubin]] constituted Obama's transition team of Economic Advisers.<ref>[ http://www.bloomberg.com/apps/news?pid=20601110&sid=aSzNv81CYh0c Obama to Meet With Buffett, Daley, Economic Advisers], Bloomberg, Nov. 6 2008.</ref>  Rubin was being sharply criticized for his role in the collapse of [[Citigroup]] which needed $45 billion in federal [[bailout]] money.<ref>[http://www.reuters.com/article/topNews/idUSN0930738020090109 Robert Rubin quits Citigroup amid criticism], Reuters, Jan 9, 2009</ref>  Buffett, after the inauguration, spoke out against the administration's declared objective of not allowing "a crisis to go to waste" [http://www.swamppolitics.com/news/politics/blog/2009/03/buffett_hits_obama_congress_on.html] and Obama's massive tax increase on the needy and those least able to afford it. [http://greeninc.blogs.nytimes.com/2009/03/09/buffett-cap-and-trade-is-a-regressive-tax/]

===Bailout Crisis ===

===Bailouts ===

After spending over a trillion dollars in cash and guarantees (by Bush and Obama combined), the [[bailout]] of the financial system by October 2009 seemed to have rewarded the big banks but failed to stimulate the economy and job creation. Obama started to decline in the polls, as independents and Republicans became increasingly critical.  A firestorm erupted in March when it was learned that AIG insurance company, now 80% government owned, was paying $165 million in bonuses to the traders that had caused $60 billion in losses. Geithner was appointed to the Treasury largely on the basis of his work at the New York Fed, where his most important action was to design the bailout of AIG. Under Geithner AIG received $170 billion from the government.

After spending over a trillion dollars in cash and guarantees (by Bush and Obama combined), the [[bailout]] of the financial system by October 2009 seemed to have rewarded the big banks but failed to stimulate the economy and job creation. Obama started to decline in the polls, as independents and Republicans became increasingly critical.  A firestorm erupted in March when it was learned that AIG insurance company, now 80% government owned, was paying $165 million in bonuses to the traders that had caused $60 billion in losses. Geithner was appointed to the Treasury largely on the basis of his work at the New York Fed, where his most important action was to design the bailout of AIG. Under Geithner AIG received $170 billion from the government.

[[Image:Toxic-assets.jpg|thumb|300px|left|Geithner plans to sell toxic assets to Wall Street]]

[[Image:Toxic-assets.jpg|thumb|300px|left|Geithner plans to sell toxic assets to Wall Street]]