The hidden costs of the bailout - SigTARP Barofsky - Oct. 21, 2009

The hidden costs of the bailout - SigTARP Barofsky - Oct. 21, 2009:

"NEW YORK (CNNMoney.com) -- The $700 billion bailout will ultimately cost taxpayers billions of dollars, but the government stands to lose much more than the money it's pouring into companies.

Neil Barofsky, special inspector general for Treasury's financial sector rescue, wrote in a report released Wednesday that the bailout has several hidden costs.

One is the hard cost of borrowing money to fund the rescues of banks and other companies. The others are, according to Barofsky, less tangible but no less important: The danger that comes with rewarding companies that took excessive risk, and the loss of the government's credibility with taxpayers."