Don't Forget the "Other" Bailout…

Robert Farago
by Robert Farago

A moment’s pause, if you will, to remember that the U.S. auto industry’s future depends in no small part on the “other bailout:” the $700b rescue plan for Wall Street. Motown’s sales have long relied on the art of the deal to move the metal. Bottom line: GMAC, Ford Motor Credit and Chrysler Financial all wrote a shit load of bad paper to keep the factories humming (not to mention GMAC’s ResCap mortgage unit’s adventures in subprime sugar). If the domestic automakers can’t tap into the bailout bucks to restore their ability to lend money to new car buyers, well, let’s call it an accelerant. While I cruise the internet looking for more grist for our metaphorical mill, I invite TTAC’s Best and Brighest to read the draft of the bill, or simply speculate, on the captive finance units’ chances of resuming louche lending practices. Hey. It’s what the President wants.

Robert Farago
Robert Farago

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  • Mel23 Mel23 on Sep 29, 2008

    You can't cheat an honest man nor can a democratic government poorly serve an informed and involved electorate. People in Congress behave the way they do because most of us don't pay attention and don't want to hear the truth. Elected people are just symptoms.

  • Golden2husky Golden2husky on Sep 29, 2008
    nor can a democratic government poorly serve an informed and involved electorate.... How true. If only people would pay attention and consider the actions of politicians instead of just the party before voting. I never understood the "party pulling" method of voting.
  • Obbop Obbop on Sep 29, 2008

    A federal government of for and by an elite class. The Founders intentionally designed it that way. The Founders expected the elites to possess a sense of honor that would direct the elites to consider the good of the people and the country as a whole along with what was good for the elite class. The Founders faith in the priveleged class may have been okay in their time but times changed. You folks know what we have now. You and I can give one vote. Corporations and special-interest groups offer HUGE speaking fees and wondrous careers after the politicos leave office. No laws broken, no promises made... it's just the way the "game" is played.

  • Menno Menno on Sep 30, 2008

    Thing is, obbop, that there is a certain percentage of "awake" or "awakening" US Citizens who are tired of the deck constantly being stacked against them, in this "game".