What is that Smell!!

I would simply assign an appellation of vented hostility to this article, except for the nature of the Government behavior. Chrysler is bound to lose their autonomy through this action, Stockholders are expected to lose everything, and Lenders are expected to lose the majority of the Stake in the Company. Taxpayers has spent a whopping amount already (think $8 bn), are expected to spend much more on a bankrupt entity, and control of Chrysler will pass out of the Country. The greater rub comes in the fact that such losses will do nothing to spur the economy in the Short Run, and Chrysler could survive in an alternate liquidation process. The Speed of Government activity must be questioned, especially the obvious Push to get Chrysler through the chosen Bankruptcy process. I would simply appeal for a Court Injunction against a final determination for one calender year, with the Refusal to allow Plant closings based upon the length of time necessary to accomplish the Bankruptcy. The Court should admonish Chrysler to continue operations as long as they are profitable for the duration of the Judgement.

My previous paragraph should explain that I am not enamored by Government policy, but in the interest of assigning blame where the Chips should fall, I refer you to this Post. Glass-Steagall could not have been revoked, Gramm-Leach-Bliley would not have been invoked along with the Commodity Futures Modernization Act, without the majority support of Congress; Everyone believing that huge political contributions would come their way. The abandonment of financial regulation had started under the Clinton administration, and the bravado of Bush administrators was hailed by All as the new heyday of the Cowboy Capitalists. Everyone was for it, no one was against it, and Taxpayers have spent literally trillions of Dollars bailing out the Cowboys, simply because they make the political campaign contributions.

I am not saying with the Above that the Recession is not on Us, or that individuals can be picked out who are responsible for the debris of failed financial instruments around Us. Those Things were written by individuals, but they were Sold and Bought without vetting by Anyone. We bought into that ‘Gold Brick’ and can hold no one else accountable, but We should not cover the Cowboys so that they can keep their ill-gotten Gains. It is doubly foolish when these Cowboys are the only Americans protected by this protective process, abandoning responsible Lenders, Stockholders, and Labor to the depredation of unregulated markets. It is finally an abomination that American Taxpayers are stuck with the final Bill. lgl