It has become quite clear over the last few months that George Bush has felt constrained by those pesky conservatives in his party not to show his big government loyalties (certainly genetically acquired) over the last 8 years. But now he is unleashed. No longer does he need the support of those silly small government types who cling to their ancient notions that socialism doesn’t work. Today he is offering over $17 billion to the auto industry. According to news reports Bush is claiming that:
Allowing the massive auto industry to
collapse in the middle of what is already a severe recession “would
worsen a weak job market and exacerbate the financial crisis,”…”It could send our suffering economy into a deeper and longer
recession. And it would leave the next president to confront the demise
of a major American industry in his first days of office.”
What I argue here in a Carolina Beat posted yesterday is that these bailouts will actually worsen and prolong the recession.