Corporate Bailouts North of the Mason Dixon Line

Here is a great look at the foundational principles of corporate buyouts.  In her article entitled Uncivil War: Detroit Blames the South, Karen De Coster takes the UAW, Detroit News columnist John McCormick, and Michael Lind from Salon to task over their yankee ideology.

“Boom times and credit bubbles (and recent bailouts) have masked dead business models, considerable quality issues, and insolvency. Now that the veneer of phony prosperity has been stripped off the economy, the naked auto companies are a frightening sight to behold. And since Detroit came to rely so heavily on one industry, and put all of its eggs in that one basket, the region’s economy is starting to crumble.”

“In response, Detroit automakers and unions seek to use aggressive tactics against others to remain intact. The automakers sought, and received, the theft and redistribution of other peoples’ money in order to sustain their failed businesses. The UAW seeks to use legislative fiat to direct the terms of the bailout and extend their power by planting their gangs in the South. Some of the old guard still hold on to pipe dreams of an all-conquering Union.”

The entire article is a must read.  It contains a sound look at our unsound national policies and identifies the root stock from which they came.

1 Comment

  • yoshi3329 says:

    Hello, I see that you have a 24 hour gold widget, that’s great. But gold right now is too expensive for me and I can’t buy any before the Obama administrative gets in office. So far I hear from Gary North that the one of the best things to do is “Save now. Buy later. Buy assets that will rise in price because on increased monetary inflation.”
    but i don’t know what he means by “Buy assets that will rise in price because on increased monetary inflation” can you list any suggestions? I need to something quick before the economy goes down.