Troubled Asset Relief Programme
The Troubled Assets Relief Program (TARP) was a multi-headed US Federal assistance programme created at the time of the 2008 Global Financial Crisis to stabilise the US economy. Under TARP, a number of large and mid-sized US banks were bailed out or given Federal assistance (USD250 billion), US car manufacturers were rescued (USD82 billion), as was insurance company AIG (USD70 billion). TARP also injected USD27 billion to stabilise credit markets and committed USD46 billion to help homeowners avoid foreclosure. Even though the Federal government used USD475 billion of taxpayers’ money, it ended up making a profit on this commitment.