(A little debate on the auto bailout... - promoted by Jay Stevens)
I sent Jay's post, Let's keep the good jobs, to a friend this morning. We had been discussing the bailout this weekend and Jay did an excellent job of saying what I meant. My friend replied with the following email...
Wasn't the bailout for about 15 billion dollars...............and they're saying that a collapse will put 3 million people out of a job? How about just giving all those people the 15 billion.......(which would be 5 million a piece). What sort of impact would that have.........where 3 million people "burst onto" the economy with that much money to blow!
Now I understand this would be massively disruptive to the auto industry supply chain, but it strikes an interesting chord. Just protect the people and let the companies die. What exactly is wrong with that anyway? It seems like it would be a lot cheaper, because let's be honest, $5 million apiece is a bit exorbitant.
Update: (from Jay) That's actually $5,000 apiece, Gerik!
Instead of giving workers a one-time $5,000 check, giving the industry a bailout would preserve workers' paychecks, health care, and pensions, along with preserving the equipment and factories that can be used for national security purposes, if needed. |
