GOP conservatives present rescue alternative
A group of House conservatives are proposing an alternative plan to rescue shaky financial institutions.
The White House favors a 700-billion dollar bailout that has been revised following negotiations with congressional Democrats.
The plan the conservatives are offering is a package of tax breaks and a new government-sponsored insurance program for mortgage-backed securities. Banks, financial firms and other investors holding toxic mortgage securities would pay premiums to the Treasury to finance the insurance coverage. Institutions holding higher-risk securities would require higher premiums.
Virginia Congressman Eric Cantor, a Republican, says the alternative plan would remove the burden of the bailout from taxpayers and instead place it, over time, on Wall Street.
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