"This economy requires support from the government, a check from the government in some form or fashion in the trillions as opposed to the hundreds of billions," Gross said to Bloomberg TV on February 5. "And I think President Obama was right - there is a potential catastrophe if Washington continues to focus on $100 or $200 billion. We need something in the trillions."
Gross' proposed amount includes a bailout for the banks, in addition to the stimulus to jumpstart the overall economy.
Socialist thinking can often pop up in the most unexpected places.
One of the “most powerful bond investors in America” is calling for a full-fledged government bailout of homeowners who are struggling to pay their mortgages. Pimco Chief Investment Officer and founder Bill Gross thinks the Fed and monetary policy need to step aside for direct government intervention by President George Bush.
“Write some checks, bail 'em out, prevent a destructive housing deflation that Ben Bernanke is unable to do," wrote Gross on his September blog, which appeared in an Associated Press story on August 23. “This rescue, which admittedly might bail out speculators who deserve much worse, would support millions of hard working Americans whose recent hours have become ones of frantic desperation.”