Another Bailout?!!??

So here we are again. Once again, a massive bailout is in the works for the 3 major automakers of the US, GM, Ford. and Chrysler. Again the public is against the bailout but even though I don’t support bailouts, I think this one is needed. Lets face the facts here, they make crappy cars that no one wants to drive, the UAW is raping them, and their business model is set up for failure. I feel that if we don’t bail them out, we might end up having to bailout the entire state of Michigan. I don't think people quite realize how big of a shockwave to the economy it would be if the automakers went bankrupt. If you think the Job losses currently this year were bad, wait till GM files bankruptcy. To give a feel for how much jobs would be lost, here is an excerpt from one of my emails my friend sent me, “every job at GM accounts for approximately 8000-10000 jobs worldwide. According to Standard and Poors, GM currently has 266,000 employees worldwide. Do the math. Granted not everyone would lose their job unless chapter 7 bankruptcy is filed, but I will guarantee you a whole hell of a lot of people will be layed off in a chapter 11.”
These companies didn't just magically fail, they have been failing for a while. I think in order for them to receive a bailout they need to be totally restructured. Somewhere along the lines like Toyota who is the number one auto seller and is doing very successful despite a weak economy.