Now It's GM! - written by Michael Meroney

Now it's GM!!!!
By Michael Meroney

So after the good guys in Washington have poured money into AIG, over 85 billion dollars and then the financial sector, over 700 billion dollars now Nancy Peopsi announces that it may be a good idea to do the same thing for the auto industry.

How do you feel if you have been responsibly paying your bills, mortgages, listening to the mantra of " Do the right thing" , pay your taxes as you should then watch these greedy, self serving, corrupt, politicians throw more than 780 billion dollars to those that borrowed too much, lent too much, expected extraordinary returns in a market that was doomed to fail. Washington is hemorrhaging money to keep the gluttonous, vultures from failing while the responsible, hard working taxpayer watches as the bottom falls out of their 501k's, personal investment and retirement accounts.

These same people get to watch the value of their homes plummet due to absolutely no fault of their own but due to the reckless purchasing by those who had absolutely no business taking that big of a risk, greedy speculators and irresponsible lending practices of the financial community.

I heard the " Donald" this morning talking about the situation. He like others feel that the auto manufacturing model is broken. We have too many manufacturers with too many models chasing the same market. GM has Chevrolet, Buick, Pontiac, GMC, Cadillac. Ford has Ford, Mercury, Lincoln and the Ford P.U. line. Ford has recently sold Jaguar and Land Rover to the Indians, TATA motors. Chrysler has Chrysler, Dodge and Jeep plus their P.U. line. We also have the Japanese German and Korean companies with a presence in the U.S.

Harry Ried and Nancy Pelosi have made statements about how they do not want the US to exploit it's oil or coal reserves. I actually heard Harry Ried from the podium say " Gas makes you sick, coal makes you sick, natural gas makes you sick.". Well If I remember correctly autos still run on gasoline Harry. I have yet to see some guy with a sail on his car tacking down I-95 on his way to work

The speaker and majority leader seemed quite pleased when gas was at $4.25 /gallon. Their constituents build cars, they seemed to forget about them at the time. Gas goes up car sales go down. People lose their homes , car sales go down. People lose their jobs and their homes because business and consumers can not borrow money, car sales plummet.

Today GM closed at $2.92. Tupperware closed at $21.71 to make a brief comparison. I think that as painful as it may be that having the taxpayer bailout the auto manufacturers is a huge mistake.

These loathing leaders that preach so much about virtue and the law and responsibility then let this happen right under their noses with no shame. These are now the same individuals that will again throw your money at something broken then blame someone else for the mistakes.

Remember how badly the government over reacted during Saving and Loan debacle in the 80's. They just can not help themselves. This industry is broken and need of major repair. Throwing our money at it at the present time is a bad idea.

The automobile industry is a victim of big government and big unions and foreign competition. A bailout right now is like throwing money at education. The more they spend the uglier it seems to get. Why let the government get their hands deeper into the private arena?

This new House and Senate with the big democratic majority would like nothing better.