By: Doug Payton

Doug Payton — Sun, 14 Dec 2008 00:27:45 +0000

Thanks for the history lesson. I wasn’t aware of how the British handled this same situation. And amazingly enough, the sky didn’t fall. Thank you very much for your perspective.

Yes, Democrats are much too beholden to their union constituency to have a clear head about this.

By: Richard

Richard — Sat, 13 Dec 2008 14:00:30 +0000

Well, a bailout COULD work but under conditions which are not likely to happen with the populist democrats.
Let me put it this way. Let the automakers fail. Britain suffered this shock therapy in the 1980s – it actually freed the economy to start making wealth in the long run, we shut down loss-making industries based on unpopular or simply crap products, while shackled by recidivist unions.
The long term danger with the Democrats approach to the crisis is that they will spend all this money AND have nothing to show for it in two years when GM et al go bust and all those people lose their jobs. This has been coming for fifteen or more years. The SMART move would have been to have broken up GM etc ten years ago into smaller firms because the US autmakers are in effect a domestic monopoly: only the foreign car makers actually produce competatively.
I’m just worrying about the levels of government debt that will be building up on this and the tax increases required to fund it…

Comments on: YOU Want the Economy To Fail!

By: Doug Payton

By: Richard