Bailouts

Sunday, December 21st, 2008

hummer.jpgThe auto industry “bailout” is an odd thing. Canada is moving in kind. It seems to me that the money will last a few months, then issues will arise, the same as exist now.

Blame’s not an issue. American’s were purchasing, rather financing, weird cars for years. I still have to struggle in the parking lot with Suburbans and Excursions or whatever blocking off whatever treeline exists in CT.

What will happen in the next few months that changes anything? Here are a couple of ideas, though: put the northern industry into the hands of the union and designers and see what happens, such as re-equiping (see link below). Top management should reduce its paycheck to a 200K cap, even for the chiefs. If you can’t live on 200K (I have no idea what I would do with 200K–it would be interesting, maybe do some more insulating and give more to the groups and charities we give to now), then something’s wrong. Million dollar paychecks, in any economy, are bizarre and must be “overvalued.” Third, take Ray’s suggestion and run with it.


3 responses to “Bailouts”

  1. Josh says:

    So you believe there should be a cap on the American Dream?

  2. Steve says:

    Not at all. But I’m not sure what you mean, as I could dream a lot with 200K, but how do you mean dream? The dream of a good living? Note my wording “Top management should reduce its paycheck” puts the choice on top management. They should chose to reduce their paychecks as a matter of fairness and self-investment in heir own concerns.

  3. Josh says:

    I did catch that you said “choice”, but the liberal ideology often translates “choice” into an “if/then”, meaning nationalisation, regulation, taxes…essentially a cap on the American Dream.

    The Dems back unions for much the same purpose (plus the political leverage). Too often this stokes class warfare for no reason.

    What I mean by my question is that no one should begrudge someone their income, whatever the size. Mind that I am not saying it is necessarily smart for a CEO to pay out to himself $1M a year just because, but at the same time he needs to maintain the right to make that alleged mistake.