All Blog Posts from Econwatch

A real estate group says home prices fell in eight out of every 10 U.S. cities in the third quarter of this year as heavily discounted distressed sales made up 30 percent of all deals.

But home sales continued their climb, with quarterly sales outpacing the second quarter and the previous year's figures, the National Association of Realtors said Tuesday.

The median sales prices of existing homes declined in 123 out of 153 metropolitan areas compared with the same period a year ago. Prices rose in the other 30 cities.

The national median price clocked in at $177,900, or 11 percent below the third quarter last year.

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More than 10 percent of the money allocated to the government's "Cash for Clunkers" program has already been doled out, according to the Detroit News.

As of Wednesday, $96 million in vouchers had been submitted for reimbursement, the National Highway Traffic Safety Administration said.

U.S. Rep. Candice Miller said that the program's coffers could run dry in "a matter of weeks."

The program is accelerating despite criticism that many drivers with fuel-inefficient cars don't qualify under the strict guidelines.

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Days after GM's CEO Rick Wagoner was forced out by the Obama administration, Treasury Secretary Timothy Geithner left open the possibility that such moves could happen again.

In an interview with CBS Evening News anchor Katie Couric, Geithner acknowledged the government has had to do "exceptional things" – citing AIG as well as Fannie and Freddie Mac.

"We have changed management aboard," he said. "And where we've done that, we've done it because we thought that was necessary to make sure these institutions emerge stronger in the future."

When asked if he would leave open the option to pressure a bank CEO to resign, Geithner replied: "Of course."

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CBS Evening News anchor Katie Couric interviewed GM's new CEO Fritz Henderson, who talked about what the embattled automaker needs to do to survive.

"Given the situation we find ourselves in today, we need to do more," Henderson said. "We need to do it faster. We need to reduce more liabilities. We need to take tougher measures to make sure that GM can actually ... sustain itself in this kind of environment."

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Nine of the top 10 recipients of AIG bonuses have agreed to return the money in full, according to New York Attorney General Andrew Cuomo.

In a conference call with reporters late Monday, Cuomo said that approximately $30 million has been retuned.

Cuomo said that his office has been working with AIG to asses the status of the $165 million in bonuses paid on March 15 – roughly half of which went to U.S. citizens. He said of the top 20 recipients, 15 had agreed to return the money

The attorney general hopes to get $80 million back from Americans that received bonuses, but people out of the country, which Cuomo has no jurisdiction over, there is no word yet on how much of that money will be returned.

Citing a "new era of corporate and individual responsibility," Cuomo said that the individuals who have agreed to return the bonuses have done the "right thing."

"It's what our country needs and demands," Cuomo said.

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Investors have not reacted with confidence to Citigroup's most recent financial rescue plan.

After the government announced it will give $25 billion in emergency bailout money for as much as a 36 percent equity stake in the bank, Citi shares fell 96 cents, or 39 percent, to $1.50. - a new 52-week low.

Citigroup investors are apparently apprehensive about how much their holdings would be weakened by the major increase in government ownership.

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