Anyone else that was FOR the bailout want to admit with me that we were WRONG?

Damn sure won't improve it.

In *THEORY* they are hoping to offset worse things that will also hurt, but the problem is they are doing the corporate equivalent of "A Weekend at Bernie's"...propping up the dead.

It'll help out the incomes of the overpaid guys at the top that feel entitled to make more than they bring to the table (and since they share the booty with legislators, that's the intended target) and may even temporarily sustain the appearance of life at companies that are simultaneously losing money at the bottom to union jobs where some guy is paid $120/hr to come in and do nothing because he has seniority while 3 more guys are brought in at inflated figures to do what he isnt doing... but until these bloated corporate corpses are read their last rites and buried the cycle will continue, as they arent changing the core practices that are causing their failure.

It was telling when GM was lining up at the trough for their piece of the taxpayer-funded corporate welfare that one legislator pointed out they'd flown in to ask for it in a private jet. His analogy... 'it's like seeing someone show up for lunch at a soup kitchen in a top-hat and tails'. The entire thing is a travesty of capitalism and needs to stop.

 

Inflation will take a few years to work it's way into the economy. It took until 1979 for double-digit inflation to kick in as a result of increases in money supply that go the US out of the 73-75 recession .

 

That was a perfect way to sum up our situation right now. Sad, but true.

It's going to get worse because we absolutely refuse to allow the free markets to work. We are making the problem 10 times worse and prolonging the problem. Like taking 3 hours to pull off a band-aid.

I spent some time annoying my Senators yesterday telling them to shoot down the auto bailout, did anyone else?

 

Oh shit, it's worse than I thought. I thought they were still doing it manually. :-p

 

The auto companies are a key industry and the US can not afford to let the auto industry fail. At it stands now the bailout is nothing more than a UAW bailout that will solve nothing. Chapter 11 bankruptcy at this point is a better option.

 

I agree with bogart... this is only going to prolong the inevitable. These companies need to find ways to stay afloat.

 

Within the next year there's going to be hundreds of cities crying for bailouts. New York City is planning layoffs for March.

 

Getting so bad that Freddie Mac is thinking of laying off three Senators.

 

That would be funny if it weren't true.

 

The auto industry won't fail in the long run. Be GM, Ford, Toyota, VW, Honda or Subaru somebody will want to make money selling the cars people will still want and need. Who knows? If the Japanese firms take over we may even enjoy better vehicle quality in North America.

 

Flying in on their 3 corporate jets was absurd. Let em go into bankruptcy.

 

PLEASE NOTE: Send Rob Green Rep.

 

I was listening to that last night and had to pick up my jaw from the floor. It cost them about $20k EACH to fly there....

Shit, they could have at least did the jetpooling (carpooling) thing lol...

Next thing you know Donald Trump will be asking for a handout!

 

I didn't think that was quite as bad as the $400,000+ party AIG threw after the bank bailout. Still bullshit though.

I'm gonna have to look into jetpooling next time I travel.

 

I just had the greatest idea how the execs can get their money...

I saw one of the those "Sponsor a Child" commercials where you send money to one child. In return, they send you pictures, drawings, and progress reports. Why can't they start a "Sponsor an Exec" program? They could send progress reports, pictures of their yacts and jets, and drawings in return. Win win situation right there!

 

oh jeez, don't get me started on municipalities, lol.

 

What about the big three's suppliers, parts makers and whatnot? What effect on our economy would it have to leave them out to dry?

 

No doubt they are going to suffer. There is nothing good about the big 3 going bankrupt....except possibly getting less arrogant CEO's that won't fly around on their personal jets.

Everyone in the auto industry is suffering now. Overall auto sales are lowest in a decade, possibly 15 years or so. Basically everyone is losing money.

Bankruptcy could take many others in the industry. There has been an idea pushed for a "guided" bankruptcy, if that is possible, so as to mitigate the problems.


Bankruptcy will no doubt further damage the US economy. It will add to unemployment.

If they did go bankrupt and shed costs, I wonder if they could restructure prices downward on auto's encouraging purchasing?

 

GM is selling their share in Mazda, to get ~ $500mln

 

New York City has a 1 billion dollar shortfall and the state of New York has a 2009 deficit of 15 billion.

Many municipalities are planning to raise peoperty taxes at the same time that people can't afford to pay mortgages.