OK folks - GM is announcing that they have about enougn cash reserves to last them to about February and after that, they close their doors. Ford and Chrysler are not far behind, either. The negotiations on capitol hill are making little progress and the UAW seems to be solely focused on the near-term and on self-preservation.

So the question I have is, what should the government do, if anything at this point?

What are your thoughts?

All,

I hate to answer this question, because I wholeheartly feel that I as the Joe Taxpayer should not have to shoulder the cost of bailing out a publicly traded company like GM.  I am still bitter over Fanny, Freddy etc. bailout but at least some of that blame has to fall back on the idiots (taxpayers) who agreed to take loans that they would never be able to repay after the initial term.  While much of the rest of it falls back to shady banks buying and selling loans to each other so many times that the loans weren't worth the paper they were written on.  Back this current rant, I didn't cause GM to over extend themselves, I didn't force GM to agree to unrealistic and costly labor prices, and benifits packages that CEO's of companies don't get!  This is GM's problem not mine!  I owe them nothing and basically the declining market, high fuel prices, and the exorbitant UAW costs have hurt them just as much as they're own greed.   On the same note, General Motors, Ford Chrysler, and Harley Davidson are to me as American as Apple Pie.  Hell, I have owned at a minimum 2 vehicles from each of the big 3 auto makers.  So there is a part of me that says that these iconic American institutions cannot just fade away.  So go ahead and bail thier sorry asses out, but make sure that the conditions favor me the tax payer saving money on my next GM product by cutting overhead, reducing uneccesary jobs, and chopping the legs out from under the UAW!

One other thought:  How about the law of survival of the fittest. If GM folds then the American car buyer will turn to the other two options they will have left, Ford and Chrysler, thereby strengthening them both by the loss of G.M.  That is if the american car buyer still has enough money in his pocket it even buy a new car. 

We already know that our new President wants to socialize medical care, Gee whiz guys that shouldn't cost the tax payers much!  Whats next are we going to bail out the Insurance market next because fewer people are buying cars, so fewer are being insured?  Are we going to bail out the Supermarket industry because fewer people are having more than 2 children so they are buying less food?  What about the cable TV industry?  I have Direct TV and many others do too, is that industry next? 

Where does the madness end?  This is no longer a free market economy, this is becoming the United States Socialist Republics!  If you don't know what socialism is, or don't care to accept that this is where we are headed, then you are a fool! 

USA: 

born July 4,1776

Died November 4, 2008