Distress On Main Street

Even as Wall Street regains its footing, however, signs of distress on Main Street remain disturbingly persistent. Although unemployment has eased slightly in recent months, it still remains much higher than any time since 1983. In addition the long-term unemployment is unprecedented in recent history, the U.S. Office of the Special Inspector General for the Troubled Asset Relief Program, SIGTARP, writes in its latest report to Congress.

“In sum, notwithstanding that the financial system appears to be stabilizing and record profits are returning to Wall Street, the plain fact is that too many Americans on Main Street are still in imminent danger of loosing their business, their jobs and their homes.”

Office of the Special Inspector General for the Troubled Asset Relief Program

In light of these circumstances, Treasury has shifted much of TARP’s focus to initiatives intended to offer economic relief to the broader public, the Special Inspector General writes in the statement. Adding that the new programs do little to accomplish the Emergency Economic Stabilization Act’s explicit purpose to “help families keep their homes.”

The report, released Tuesday, recommends the these five steps to improve the situation: