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Does the Auto Industry Deserve To Be Bailed Out?

Despite the lengthy arguments above...the simple answer is, "yes!" Throw them a bone...my God, the guys who started this mess got a cured ham!

Detroit Bailout: No News Is Bad News

Look, the entire US economy is in trouble. If we're gonna be unsuccessful at stimulating lending by bailing out the financials, let's give a bail out of GM a try. It's a more grass roots bail out I am in favor of, anyway.

Let's save some real jobs, despite the white collar financial lawyers advice to let the auto makers fail. The same argument should have applied to the financials. But, it seems to me this is a money grab and everyone is fighting for their share...give us the taxpayer's money and let the other guy fail.

If congress does release money to bail them out, and I hope they do...I pray they don't give it to Paulson. Who knows what he'll decide to do with it.

The whole bail out idea is doomed to begin with, in my view. We will spend tons of money and send our debt into orbit around mars. But, we'll probably still enter a deep recession or depression despite the money spent. Ah, but one just cannot sit idly by and let it happen without trying to fend off disaster.

So, if bail outs and stimulus packages are not gonna work, let's be fair about it. Put it where it will have the most effect and soften the collapse.

Auto Bailouts, Mortgage Debt and the Economy

Great point on the stability when borrowing issue.

Let GM Fail

I am beginning to change my tune on the big 3 bail out. It's all about earnings. A bail out in such times will not improve earnings, at least in the short term.

The sad thing is it's all about earnings, not jobs and not people.

On a related subject, we've all mentioned UAWs medical care expenses. So, what if anything, are we gonna do about the insurance industry? My guess is, nothing at all.

Let GM Fail

Did everyone see the cold reception the big 3 CEOs got on the hill. Man, I almost felt sorry for them.

There are some good arguments for letting them fail. Allow a new set of leaders restructure, retool, rehire, and compete. That's fine and dandy in the best of times. But, they will still be required to honor the retired UAWs. I hope no one is supporting throwing them to the wolves of poverty.

I believe one thing is certain. If we let them fail, we will solidify a prolonged and deep recession. Our stock markets will take a major hit. In current times, I just don't think ,despite the rhetoric from congress, we will let them fail. Look for a bail out in late Jan 09.

It does not speak well of the big 3 showing up in Washington asking for a piece of our tax money pie like hyenas on a lion's kill. It sure must be tempting, though. They'd be silly not to try.

Bail outs of lucrative business never goes over well with the population who did not get a simple mortgage bail out. But, in this case it's a matter of weighing the best and worse case. Letting them fail will be worse in our current environment, even if failure is inevitable.

Where is the insurance industry in all this? They have lots of money. The UAW will have to make serious concessions, too. Let's wait, let them fail later and give them some money with serious (yet to be determined) restructuring strings attached...at least until this recession blows over

Just my opinion.