All businesses cyclically fail. In this case it’s senior executives greed and an unreasonable union. If foreign cars are made here for a profit, GM and Chrysler must compete. When they fail, there will be a major small business market in replacement parts. Cuba and Mexico have been restoring old chevys for 50 years. Either GM will emerge from bankruptcy with one high mileage model or cars will be foreign brands manufactured here.
I actually think Washington got it backwards. I think they should have let the banks fail (get divided up and bought up by smaller banks, which are not failing, and actually doing very well). Secondly, I think they should have propped up the car companies (not a bailout or nationalize, but an open-ended loan). What most people don’t realize is if the ‘big’ banks got split up, not many jobs would be lost, just transferred. If the big three fail, not only will the automakers be out of work, their suppliers would be screwed too. We are talking about millions of jobs. It goes back to what the purpose of stimulus is? To provide and keep jobs or to help rich, greedy bankers?
I bet Bill Clinton was seething with jealousy when he saw that picture.
GM and Chrysler should have been allowed to enter bankruptcy a long time ago. The SUV craze of the 90’s and early 00’s only prolonged the inevitable.
Those girls are too skinny for Bill’s taste. I will admit, the car companies have messed up royally BUT they have valuable infrastructure in place that could be used for a turnaround. What do banks have? Worthless pieces of paper. That’s why it makes more sense to invest in jobs and manufacturing instead of bad loans.
I don’t think anyone will argue on that last point. At least if cars aren’t selling they can be deconstructed for parts and materials. Worthless paper assets just disappear.
I knew GM was screwed when they decided to give Saturn the axe. The brand name and trademark, along with the factories producing those vehicles, could have been sold to investors who still have money. It’s a good brand, known for innovative vehicles.
And the womens’ beach volleyball is one of hte few olympic events I was happy to watch – especially the brazilians…
That’s why it makes more sense to invest in jobs and manufacturing instead of bad loans.
For our government – yes I would agree. For my personal investment portfolio however… I’m sticking with financial institutions and wouldn’t dare put so much as $50 into GM.
My rate of return so far this year is skyward of 60%. Try doing that with a car company.
Well, I would agree with you there, but I look at this as a bread & butter issue. we can bailout millionaires all the time, but it doesn’t equal jobs, I think we learned that from the Bush years.
from Plaintiff Guy:
All businesses cyclically fail. In this case it’s senior executives greed and an unreasonable union. If foreign cars are made here for a profit, GM and Chrysler must compete. When they fail, there will be a major small business market in replacement parts. Cuba and Mexico have been restoring old chevys for 50 years. Either GM will emerge from bankruptcy with one high mileage model or cars will be foreign brands manufactured here.
I actually think Washington got it backwards. I think they should have let the banks fail (get divided up and bought up by smaller banks, which are not failing, and actually doing very well). Secondly, I think they should have propped up the car companies (not a bailout or nationalize, but an open-ended loan). What most people don’t realize is if the ‘big’ banks got split up, not many jobs would be lost, just transferred. If the big three fail, not only will the automakers be out of work, their suppliers would be screwed too. We are talking about millions of jobs. It goes back to what the purpose of stimulus is? To provide and keep jobs or to help rich, greedy bankers?
I guess one can’t warn about the dangers of anal poisoning unless they’ve been there, done that, huh Rush?
http://wonkette.com/407442/407442
I bet Bill Clinton was seething with jealousy when he saw that picture.
GM and Chrysler should have been allowed to enter bankruptcy a long time ago. The SUV craze of the 90’s and early 00’s only prolonged the inevitable.
Those girls are too skinny for Bill’s taste. I will admit, the car companies have messed up royally BUT they have valuable infrastructure in place that could be used for a turnaround. What do banks have? Worthless pieces of paper. That’s why it makes more sense to invest in jobs and manufacturing instead of bad loans.
I don’t think anyone will argue on that last point. At least if cars aren’t selling they can be deconstructed for parts and materials. Worthless paper assets just disappear.
I knew GM was screwed when they decided to give Saturn the axe. The brand name and trademark, along with the factories producing those vehicles, could have been sold to investors who still have money. It’s a good brand, known for innovative vehicles.
And the womens’ beach volleyball is one of hte few olympic events I was happy to watch – especially the brazilians…
I wanna framed 8 x 10″ of Walsh’s butt hanging above my bed.
That’s why it makes more sense to invest in jobs and manufacturing instead of bad loans.
For our government – yes I would agree. For my personal investment portfolio however… I’m sticking with financial institutions and wouldn’t dare put so much as $50 into GM.
My rate of return so far this year is skyward of 60%. Try doing that with a car company.
Well, I would agree with you there, but I look at this as a bread & butter issue. we can bailout millionaires all the time, but it doesn’t equal jobs, I think we learned that from the Bush years.