The automotive bailout Options

[playr158]

This post has been edited by playr158: Dec 9, 2008 - 2:21 PM

[creis]

yup the bail-out appears to be officualy dead due to a "procedural vote" by the senate (my understanding of it being a senete pre-vote or something) (with exception to weither the W.H. will pull from the TARP's 700b bailout to give em.) I personly think that the govermant should not be responsable for saving failing companies regardless of how large, the people in charge of thies compaines have clearly failed at there jobs dispite there massive paychecks, thus should be fired as anyone else would be. So my opinion is let the companies go under or file ch11 and re-org if posible. That said I do think the govermant has the responsobility to help out the people losing there jobs.

I think what I would do is let the companies die and take the 14b from the TARP and use it to support thoes workers via paying bills and healthcare (figure 14b devided around to about 1m laid off workers is 14k each for 1 year. not the best but IMO much better then giving it to the companies so they can follow in AIG's footsteps and give out huge bonuses to the top exec's so they wont leave. what I dont get is this, thies companies have been dumping massive loads of money to there leaders, why not settle and give them the choice, the top execs/CEO's etc personaly fund the companys bailout and the gov. match what they come up with via paying partial wages/healthcare etc.

my .02 for what its worth.