Thursday, November 20, 2008

Buddy Can Ya Spare a Couple Billion?

Remember when Bush wanted to invade Iraq and Congress approved the invasion because Iraq had Weapons of Mass Destruction ? More recently Congress in another act of irresponsibility and gullibility approved "The Plan" giving former Wall Street Executive Paulson complete control over $750 billion dollars of bail out money. The Congressional procedure of "Ready - Fire - Aim" seems to always miss the mark. There were no WMD and the plan to spend billions to buy up toxic loans and allow the banks to once again offer credit did not happen.

The Bail Out Billions have kept the cesspool giant AIG afloat and will allow for continued upper level executive bonuses, rewards and compensation for jobs poorly done. Is this a form of merit Pay? U.S. banks who have been recipients of the billions have been allowed to do pretty much whatever they want with the money. It seems offering mortgages and freeing up credit are not on the short list; but using the billions to acquire banks is quite popular.

Now we have the auto industry. Unfortunately this is an industry run by CEO's who have seen the movie Wall Street far too many times. I imagine when Gordon Gekko announces "Greed is Good" these CEO's jump from their seats and high five each other. They are so out of touch, so arrogant and feel so entitled that they arrive in Washington, D.C. with hat in hand, not asking; but expecting billions of dollars in Bail Out funds having arrived in the luxurious comfort of their private corporate jets. If it costs $20k to fly their corporate asses from Detroit to D.C. one can only wonder how much has been spent on previous flights ... and to where?

The other day the Kelly Blue Book announced the top ten list of Green Cars for 2008 --- all ten were imports, not one U.S made car made the list. As I have written before ,in my opinion the U.S. auto industry has not had a creative ideal since the introduction of the Mustang in the mid 1960's. It would not surprise me to learn that there has been collusion between Big Oil and the Big Three of the auto industry.

The plan would be more palatable to many middle class Americans if there had been accountability built into the plan. Banks, financial institutions, insurance companies and industries that receive Bail Out funds should immediately be taken over by an economic control board to see that the top incompetent executives are immediately fired and the funds are used wisely .... not squandered on private corporate jets, retreats, end of year bonuses,and obscene salaries.

Now that a barrel of oil has dropped $100 in the past month why hasn't the oil industry collapsed? Will they be next to ask for Bail Out Funds? Better yet, maybe the oil companies who have racked up obscene profits quarter after quarter should be the source of auto industry Bail Out funds. They can afford it !!

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