Goodbye Ford, GM and Chrysler?

Ho, ho, ho, ’tis the season for giving and no one knows this better then our government.  Every direction you turn there’s a new “bailout” hitting the front page of the news.  The most recent that find it’s way to the top of the newsstands is for the big 3 auto manufacturers.  After years of burning through cash, they’re now asking you and I, the US Taxpayers to step up and throw some more logs of cash into the company furnaces.  Is it time to let capitalism run it’s course or should we stroke another check to a failing company?

There’s no doubt that if Ford, GM or Daimler Chrysler were to fail and ultimately file for bankruptcy, the repercussions will have a negative impact on the economy.  The big question is just how large of an impact a closing of one of these companies would have on our country.  First and foremost jobs will be lost on a local and national level not to mention an American Icon crumbling to the ground.  I don’t think there’s a single person in Washington D.C. or any other part of our country that wants to see the demise of any of the big 3, but is throwing 50 billion at the problem the right answer?

What guarantee do we have that a massive pile of taxpayer cash will cure the issues that are plaguing the companies;  will they be back at the door step of congress asking for more money in 6 months?  Right now they’re burning through billions of dollars per month and need billions more just to keep the doors open.  Perhaps there’s a well thought out plan to get the companies back on track towards profitability, but I’ve yet to see anything to suggest a quick fix even with a large government bailout.

I’m not against using tax payer money as a life jacket to help keep the US auto industry from drowning, however I’d like to see some assurances that there’s a plan in place for a safe swim back to the boat.  I don’t see any reason why US tax payers shouldn’t get a return on investment from a bailout loan as well; perhaps we get an ownership stake in the big 3 or charge a reasonable level of interest on the proposed 50 billion. The idea of simply handing over a huge chunk of dough without any accountability is not a very attractive approach.

What do you think?  Should we hand over 50 billion to Ford, GM, and Chrysler or is it time to draw a line in the sand and let one of them fail?