From http://biz.yahoo.com/ap/080930/financial_meltdown.htm

I cite:
“Because the government would be purchasing troubled assets and selling them once the market recovers,” he said, “it is likely that many of the assets would go up in value over time. Ultimately, we expect that much – if not all – of the tax dollars we invest will be paid back.”

If it’s likely to make a profit why shouldn’t everyone take the chance? Or at least most of them, it’ old good doing “buy low, sell high”. So let me say if the stuff bounces back why must it be bought from governement?

This is IMHO as clear, that he does not even see this contradiction. There are also a few assumptoins:
1) market will recover (well somehow, someday it surely will)
2) they get the assets below their value, and can wait long enough to wait for their recovery (let me ask why can’t Mr Paulson as private person wait for recoverey. If he’s spend 100 Mio he would not even notice that much less money. Does he own a few planes, boats etc.
3) it also implied that there will be some losses (may be/ may be not)
4) but buying them overprices would give those having collected this fould credits a premium. What should prevent them trying the same again?

I’m sorry but His Insanity simply does not get this things