DrBenway

GMAC: Too Much Is Never Enough

GMAC could have been restructured if the government really wanted a sound solution. Split ResCap from auto-financing. Liquidate ResCap and keep the auto-financing company. A typical "good bank"/"bad bank" scenario.

Obama and Co. do not want to reform GMAC because it allows them to surreptitiously funnel taxpayers money to GM and Chrysler without explicitly stating so. I find it hard to believe that no other company could finance GM and Chrysler working capital and leases but probably at a higher costs. Hence a taxpayer funded subsidy.

Taxpayers money at work - all I can say!

Should We Really Bail Out the Big Three Automakers with $73.20 Per Hour Labor?

1. Steelmakers.
2. Airlines.
3. Auto-industry.

Three worst perfmorming US industries in last 20 years. What is common? Unions!

Let's stop pretending that unions played any positive role at any point of history. It is the productivity growth that improved the worker wages and work conditions. Most white-collar workers have no unions and have been doing just fine.
If a GM worker gets paid 50% more than a Toyota worker, he has to be 50% more productive. I seriously doubt it is the case.
I also find it hard to comprehend and outright offensive how someone thinks that a low-skilled assembly worker with at best high school education should get paid 60-70K. Isn't is what a minimum wage for?