New York, NY —

As the federal government prepares to absorb billions of dollars in bad debt, New York City's billionaire Mayor says he's not sure if the bailout plan will work. WNYC's Bob Hennelly has more.

REPORTER: Mayor Bloomberg says the jury is out on the prudence of the government absorbing a half-trillion dollars in bad mortgage backed securities. But he says something must be done to tame the markets' daily wild swings, including a reappraisal of automated stock trading.

BLOOMBERG: So and so says the stock is going down BANG out goes a computer order to sell a million shares."

REPORTER: The mayor says as the credit crunch goes global, New York City's appeal to bargain hunting foreign visitors could slide.

BLOOMBERG: Foreign money has been supporting the art market the expensive real estate market.

REPORTER: Back in 2007, the city's Conflict of Interest Board allowed the Mayor to move his multi-billion-dollar fortune held in a blind trust out of mutual funds, and into real estate, commodities and hedge funds.

For WNYC I'm Bob Hennelly