Friday, November 14, 2008
This idea has been rolled out in jest a number of times, but now I'm starting to think it should be given some thought.
Why not just bail out the people?
This rant is courtesy of me finally stepping back into the real world today and picking up a newspaper and watching CNN. I guess we all knew it was just a matter of time, but now the Big Three automakers have come out with their hats in hand looking for a piece of the bailout pie. I think the automakers may actually be less deserving of a bailout than the wall street guys.
At least with Wall Street, there were some regular citizens who were able to ride the wave of the last few years and make some cash. No such luck with the automakers. Their greed has no winners, just victims. Their management has been absolutely dreadful. There is really no better way to get these corporations to straighten up and fly right than to let them fail and get back on their feet they way all the rest of us do - through hard work. Their failures is less about the economy and more about their failure to keep up with their foreign competition.
I won't even start on their failure to produce more fuel efficient vehicles. Let's just say the automakers have dug their own graves and should be forced to regroup, restructure and pull themselves out of their own mess.
Right behind the automakers are the mayors of Atlanta, Philly, and Phoenix. All want aid to help their cities through this difficult time. I have not read too many specifics of what they are asking for, but my knee jerk reaction is that the cities probably have a better case than the automakers.
Yet, I just keep coming back to the thought of just pumping some more cash into the wallets of the citizens. And not just a couple of hundred bucks. I'm talking at least a few grand.
Obama is pushing hard for another stimulus package and I think he's on the right track. I just think it should be a substantial amount. Enough to really make a dent in some bills and get people back into stores.
The bailouts are aimed at helping financial institutions and that in turn helping out everyone else. I think freeing up credit is good, but the last thing most Americans need right now is more debt. I also think a more direct approach could help out everyone a heck of a lot sooner. People get money. People catch up on their credit cards, mortgages, etc. People start back buying cars, clothes, and food. The circle of financial life breathes again.
But seriously, if the government can give these horrible businesses who have no one to blame but themselves for their current predicament around $30,000,000,000.00 then why can't they give you and me $5000 or $10000?
I mean, its not like any of the bullshit ideas by the so called experts are working anyway.