scribblings from a deist transhumanist libertarian minarchist citizen soldier

Bailouts for everyone, grandchildren will pay

Posted by Trevor in Uncategorized on Nov 10th, 2008 | View Comments |

Is it time to nuke Detroit?

The supply of “help” from Washington D.C. is apparently endless. Since American car manufacturers aren’t able to be globally competitive and are therefore losing money, let’s just make more up and hand it to them.

WASHINGTON (Reuters) – There were fresh calls on Sunday for the Bush administration to help stalled U.S. automakers, but Democratic and Republican officials said taxpayers cannot repeatedly support business rescues.

Republican Sen. Mel Martinez of Florida delivered important backing for those urging the Bush administration to use a recently launched $700 billion corporate bailout program to rescue General Motors Corp, Ford Motor Co. and Chrysler LLC with desperately needed cash.

“Within the authority of that package, I think it’s possible for the secretary of the treasury to direct a loan to that — to those entities,” Martinez said.

Martinez is a member of the Banking Committee, which oversees administration of the financing program.

The Bush administration, which recently rebuffed a request for capital from GM to help facilitate a possible merger with Chrysler, has not decided whether it will — or can, by law — expand the bailout initiative beyond banks and other financial services firms.

GM, Ford and Chrysler are burning through cash at a rapid rate and are seeking at least $25 billion in immediate federal loans to help them survive.

Someone explain to me where all this money comes from. It has to come from somewhere. Someone explain to me why we reward irresponsible behavior with more irresponsibility. Top down irresponsibility is not a method building a successful organization.

The Big Three are beaten but they won’t admit to defeat, much like the Japanese in World War II. Instead of manna from heaven maybe we should drop a Fat Boy on Detroit. Companies that cannot turn a profit should be allowed to fail. Instead we are creating a world where we are eventually ALL going to fail.

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Trevor

@kitanis:

Madness indeed. What's left? When do I get my bailout?

kitanis

The Car Industry wants the same bailout protection that the financial sector has been getting.. Look at AIG. They have had Four bailout packages brought out for them since the bailout was voted in..

Now the Auto Industry wants US to pay for the mistakes they have made. I mean pushing SUV's while gas prices have been rising.. and then saying.. They can not compete? I am not against a SUV if you need one.. but the car makers were using them as flagship products, ignoring autos to sell to everyone for a day to day transportation. Its madness.