mallarde

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

There is a danger that by bailing out more companies they will not manage risk appropriately in the future -- and as they failed to do most recently.

Why don't the pundits mention that we have a whole court system -- bought and paid for by the taxpayers -- to take care of these things. And we have a huge body of law on these very situations.

Let them declare Chapter 11 and reorganize. Wipe out the equity-holders. They were the ones getting rich off of SUVs and easy money for car buyers. They took the risk, and I will not guarantee their investment.

A Bankruptcy court could also force the unions to make concessions. This is better than any government bailout or at least would keep management disciplined and avoid taxpayers enriching the investors that made a bad investment.