Bailout Watch 68: Yes But No

Edward Niedermeyer
by Edward Niedermeyer
bailout watch 68 yes but no
It’s flip-flop week over at Automotive News. While Editor David Sedgwick pulls a Volt-face, publisher Keith Crain is flopping around the bailout issue with the grace of a freshly-landed steelhead. Just a short week ago, Crain took to his keyboard to pen a paean to the Detroit bailout. “Have the auto companies made bad decisions in the past three decades that have led them to this period of peril? Of course they have, and they continue to make bad decisions. But it is in the best interest of the United States to have a strong and viable domestic automobile industry.” This week, the AN strongman has a new take on bailouts, written under the headline “Somebody Should Just Say No.” In fairness, Crain hasn’t properly flip-flopped, he’s just being hypocritical. He may be the biggest backer of Detroit’s federal teat-nuzzling (“hoon”), but when it comes to Wall Street bailouts, the man is all principle. “Those Wall Street companies bought portfolios of bad home loans to make money,” growls Crain. “The companies are at risk because of their bad judgment, and they should take their losses.” In other words, America needs an auto manufacturing industry, but the financial centers that run the world economy we can give or take. “Let’s not jump into decisions that will increase the indebtedness of the American people,” says Crain, arguing that the auto-industry loans will definitely be paid back. And if “the mess on Wall Street is only a distraction from a thorough study of our manufacturing base,” why does Crain think the Wall Street bailout is getting top billing? Because Treasury Secretary Henry Paulson “made millions” on Wall Street and is “compromised.” As opposed to Keith Crain who never made a dime off America’s auto biz, and is as neutral and incorruptible as Solomon himself? Money-grubbing is never fun to watch, but this is just getting ugly.
Join the conversation
2 of 10 comments
  • Joeaverage Joeaverage on Sep 26, 2008

    Hey, take that $700B to the private citizen. Using the gov't to carefully dole it out to conquer consumer debt first, mortgages second (unless the person is in danger of losing their house) and only for debt that existed as of June 2008 with $25K per household would go a long way. I mean if we are transferring wealth, why not to the little guy and let that trickle UP to the rich guys instead of the trickle down economics they go on and on about.

  • Hal Hal on Sep 27, 2008

    @no slushbox: even a broken watch is right twice a day... So far as I can tell southern politics = pork barrel politics. I'm not surprised southern republicans are opposed to bailouts for MI or NY based industries. When its subsidies for tobacco plants, cotton plants or german car plants it's a different story.

  • Inside Looking Out I see it as gladiator races - only one survives in virtual world.
  • Crown They need to put the EcoDiesel back in the Grand Cherokee. I have a 2018 and it has been the most reliable vehicle I ever owned. 69,000 miles and only needed tires, and regular oil and fuel filter changes.
  • El scotto Y'all are overthinking this. Find some young hard-charging DA seeking the TV limelight to lock this kid up. Heck, have John Boehner come up from Cincy to help the young DA get his political career going. Better yet, have the young DA spin this as hard as he or she can; I'm the candidate for Law and Order, I defied our go-easy office and leadership to get this identified criminal locked up. Oh this could be spun more than a hyper active kid's top.Now I'd do some consulting work for Little Kings Original Cream Ale and Skyline Chili.
  • El scotto Pondering if he has a clean brandy snifter. Well but, ah, I mean the original Grand Wagoneer was fully loaded and had a V-8. The original Grand Wagoneer had an almost cult-like following with a certain type of woman. Attractive, educated high earning women; or those that put on the appearances of being that way.Our esteemed HerR DOKtor Perfessor again shows how ignorant he is of the American market. What he deems "bread-vans on stilts" are highly coveted by significant others that are also highly coveted. The new Grand Cherokee with the new well engineered V-6 will sell as well as the ones from the 80s some of us get wistful over. The only real question will be: LL Bean or Orvis edition?
  • El scotto Well, I've had cats that are smarted than a great many members of congress. I rather doubt that any of the congresspeople Matt named are engineers, finance people or project managers. Ya know, professionals you call in to get a job done.Today is Wednesday, this will be out of the 36 hour news cycle by Friday. Oh it might get mentioned again on OCT 6. Unless there are cute animals to put on TV that day.