Gail and his Knights

This is a good article explaining both sides of the proposed auto industry bailout.
I am not for any kind of government bailout for any company. They put themselves in this position, for many reasons including WAYYY overpaid CEO's, inability to compete with foreign car companies and many other reasons. I am saying this as my grandfather (who is still living at 93) two of my uncles, my father-in-law (all which are retired) and many other people i know worked for GM or Ford.
I just don't think the government should bail out a company that created it's own mess.
As you can see the bank bailout has caused a domino effect, now the auto industry wants a bailout, then what all the Airlines want one, then what Toy companies? I mean hey if people lose jobs they can't buy kids toys so you may as well bail them out too right? I know the argument oh we will lose jobs, if they are in this bad a shape they may be destined to fail anyway. I say take a wait and see approach. The auto industry needs to figure this out for themselves, if that means they start over from scratch then so be it.
If we keep this up sooner or later the government will control everything which is what the new president elect seems to want!

"General Motors, in particular, seems to be in difficulty. The company is burning through cash so quickly that it might not be able to fund its operations past the end of the year. Ford is in trouble as well, though it said last week that it should be able to survive in the near term"

Nice Article by Ron Paul

In the midst of highly unpopular bailouts of Wall Street, many justifications have been given about why Washington feels the need to act. Some claim that capitalism and the free market are to blame, but we have not had capitalism. If you compare our financial capital to our aggregate debt, this would be obvious. In the same way, we have not had a truly free market. The monetary manipulations of the Federal Reserve, a complex tax code, the many “oversight” agencies and their mountains of regulations show that we are far removed from a free market economy.

Another unsatisfying argument is that certain entities have to be bailed out because of their economic importance. Supposedly, some entities can be so big, so important, that no matter what they do, citizens must perpetually sustain them.

Even limited government has a basic duty to defend against force and fraud. Some argue that force is somehow permissible just because the entity engaging in it is "economically significant." But one could use this reasoning to prop up slavery. It could be deemed unfortunate but economically beneficial, and indeed these arguments have been used historically to deprive people of their liberty. But slavery should never be tolerated regardless of any economic benefit, just as systemic fraud should not be tolerated. Some banks on Wall Street should fail. Fannie and Freddie should fail. They are perpetrating fraud against the people. Yet, government insists on rewarding behavior which should instead be investigated, prosecuted, and punished.

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