Friday, December 12, 2008

Bailout Blues

The Senate, and to their credit it was mostly Republicans, stopped the nonsense:
NEW YORK ( -- The future of the U.S. auto industry was in doubt Friday morning after a proposal for $14 billion in federal loans died in a late night Senate vote.

The Senate voted 52-35 to bring the measure for a vote -- short of the 60 votes needed to advance the legislation. The failure followed the collapse of negotiations between Senate Democrats and Republicans seeking a compromise that both parties, as well as the companies and the United Auto Workers union, could accept.
Ford's in better shape than the other two, but they all are struggling due to poor management, bad business plans, and lack of foresight.

Not to worry, President George "I have to save my butt somehow" Bush will come to the rescue:
However, the Big Three could still wind up getting government funding. Bush officials warned wavering GOP senators earlier Thursday that if they didn't support the legislation, the White House will likely be forced to tap funds from the Wall Street bailout to lend them money, two Republican congressional officials told CNN.
There were only 87 votes cast, of the 100 Senators. Notables were Vice President Elect Biden, the vacant Illinois seat, doomed Alaska Senator Stevens, Both Massachusetts Senators Kerry and Kennedy, amongst others.

The MN Delegation canceled each other out. Sen. Coleman voting No (thank you), and Sen Klobuchar voting yes (we'll talk). The four sensible Democrats: Lincoln, Arkansas; Both Montana Senators Baucus and Tester, along with Majority Leader Reid, who I suspect voted Nay in a procedural maneuver. Lieberman sided with the majority of Democrats . . . I do not!

For all the talk of tax cuts and tax breaks for those who take the risks, than dagnabbit, they need to take their lumps when the risks they take fail. The market will sort this out far better than any government loan will.

I bought my new Chevy vehicle (Equinox) a couple months ago. If the Government wants to stimulate the economy, they should put that 14 billion in a consumer credit pool at bargain basement interest rates. Let the consumers decide who should get the money.


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