Why exactly are American taxpayers bailing out foreign banks?
I added up the various lists provided by AIG by country (see below), and the results were quite revealing. About $44 billion went to counterparties headquartered in the U.S., such as Goldman Sachs and states such as California and Virginia.
But as I expected, the majority of the funds—$58 billion—went to banks headquartered outside the U.S. The big winners were French and German banks, which pulled in $19 billion and $17 billion respectively.
To put these numbers in perspective, remember that the U.S. fiscal stimulus bill passed in February provided only $27.5 billion for highway and bridge construction.
Country AIG-related payments
billions of dollars
So me, my daughter, and my grandkids will be paying extra taxes to cover the losses of these foreign banks. Uh, why?