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The Chyrsler Bailout - Why It Tells Us the Current Bailouts Are Mistakes
Heritage Foundation ^ | July 13, 1983 | Hickel, James K.

Posted on 09/18/2008 6:59:12 AM PDT by Brookhaven

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It is easy to see from the Chrysler bailout that it caused just as much damage as it prevented.

The company was save, but other US automakers, creditors, and the US economy as a whole paid a real price. Chrysler actuall did go bankrupt in everything but name, but the bailout prevented Chrysler (and its stockholders) from paying the price. Leaving everyone else holding the bag.

1 posted on 09/18/2008 6:59:12 AM PDT by Brookhaven
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To: Brookhaven

Bullcrap.


2 posted on 09/18/2008 7:00:29 AM PDT by Cringing Negativism Network (CHEVY VOLT COUNTDOWN: V minus 93 Weeks. Waiting...)
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To: Brookhaven

How about you concentrate on demolishing democrats.

Not, American companies.


3 posted on 09/18/2008 7:01:12 AM PDT by Cringing Negativism Network (CHEVY VOLT COUNTDOWN: V minus 93 Weeks. Waiting...)
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To: Brookhaven

The Socialists in America have in the last view days reaped huge rewards in their favor.

We just nationalized three of the largest corporations on the planet.


4 posted on 09/18/2008 7:06:22 AM PDT by stockpirate (United States of Socialist America - Nationalizing company's because we can!)
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To: stockpirate

Better nationalized, than sold off to foreigners.

Anyone else starting to get the nagging feeling, conservatives are on the wrong side of the “free trade” issue?...

Duncan Hunter seems to be the only conservative, who gets it.


5 posted on 09/18/2008 7:10:06 AM PDT by Cringing Negativism Network (CHEVY VOLT COUNTDOWN: V minus 93 Weeks. Waiting...)
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To: Cringing Negativism Network

You read that in 77 seconds?


6 posted on 09/18/2008 7:10:23 AM PDT by 1rudeboy
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To: 1rudeboy

How about you tell readers in your own words.

Do you think America should have a manufacturing base?

Jobs?

A trade surplus?

Prosperity?

Because we’re losing ALL OF THOSE THINGS.


7 posted on 09/18/2008 7:12:24 AM PDT by Cringing Negativism Network (CHEVY VOLT COUNTDOWN: V minus 93 Weeks. Waiting...)
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To: Cringing Negativism Network

At least coming to the aid of a Chrysler or GM is saving a company that actually makes something, which is as I understand what drives a capitalist economy...making capital.

I am beginning to wonder with the major shipwrecks in the economy in the last 20 years if we don’t have major problems with what is being taught in our business schools.


8 posted on 09/18/2008 7:24:48 AM PDT by DonaldC
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To: Cringing Negativism Network

Our manufacturing base is being killed off by government regulations and unions. Cut the power of unions and remove regulations and it will be profitable for companies to manufacture here. Keep going as we are and more companies will offshore production. It’s brutally simple. American workers are productive, but they are expensive. Non-union car makers like Toyota and BMW point the way.


9 posted on 09/18/2008 7:25:01 AM PDT by RKV (He who has the guns makes the rules)
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To: RKV

How much of a union presence outside of autos and aircraft really exists anymore? Regulation may be an issue but companies will face that if they go anywhere other than a 3rd world hell hole and that does not seem to stop foreign companies from coming here.


10 posted on 09/18/2008 7:26:44 AM PDT by DonaldC
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To: Cringing Negativism Network

“Better nationalized, than sold off to foreigners”

Better to let them go under than Nationalized.


11 posted on 09/18/2008 7:27:52 AM PDT by stockpirate (United States of Socialist America - Nationalizing company's because we can!)
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To: DonaldC
I am beginning to wonder with the major shipwrecks in the economy in the last 20 years if we don’t have major problems with what is being taught in our business schools.

Have you been in a business school recently? I would bet that a majority of students in business schools today are not from this country, at least that was my experience when I got my MBA.

12 posted on 09/18/2008 7:31:48 AM PDT by dfwgator
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To: Cringing Negativism Network; All

Sorry, we should be bailing out every company that goes under. If Chrsyler was allowed to fail, it would have come back and leaner and better.. No more spending of my money on bailouts.


13 posted on 09/18/2008 7:39:02 AM PDT by KevinDavis (McCain/Palin 08 Palin/Jindal 12)
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To: Cringing Negativism Network

“Better nationalized, than sold off to foreigners.”

So it’s better to take money from healthy American companies and give it to sick American companies? That’s exactly what we do when we bailout companies.

Bailouts are not free. Somebody always pays for them.

Nationalizing companies!!! I only have one thing to say about that:

What would Ronald Reagan do?


14 posted on 09/18/2008 7:52:34 AM PDT by Brookhaven
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To: DonaldC

Government has the most union employees, like teachers. Autos and aircraft are the guts of our heavy industry (and metals which support them are unionized as are many mines).


15 posted on 09/18/2008 7:59:03 AM PDT by RKV (He who has the guns makes the rules)
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To: Cringing Negativism Network
Better nationalized, than sold off to foreigners.

What wrong with letting foreigners lose money on an bad company?

Can you name one well run Nationalized company in the entire world, I can't?

16 posted on 09/18/2008 8:00:12 AM PDT by razorback-bert (Save the planet...it is the only known one with beer!)
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To: Brookhaven
One of my clearest memories of the time was Iaccoca standing before Union Bosses asking for concessions from members.

When asked what Chrysler could guarantee members if they agreed to concessions, Iaccoca simply answered, “Their jobs.”

From what I hear today, Unions are deep into the pockets of the automakers and demanding more.

Perhaps they need to own up to their part and agree to some concessions again, if they wish to keep their jobs.

They are not totally at fault, but we cannot deny they have their part.

17 posted on 09/18/2008 8:00:52 AM PDT by DakotaRed (Don't you wish you had supported a conservative when you had the chance?)
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To: Brookhaven
Nancy Pelosi has been referring to the current bailout as an "investment" - which once again underscores the Dems' ignorance about how capitalism really works.

Enterprises that are actually worthy of investment never go lacking for investors. The prospect of turning a profit makes any viable business irresistible to investors - and the fact that the Big 3 domestic automakers are hurting for investment tells you everything you need to know about their viability.

18 posted on 09/18/2008 8:44:52 AM PDT by Skibane
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To: Brookhaven

I don’t agree with this article.


19 posted on 09/18/2008 9:29:32 AM PDT by devere
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To: Cringing Negativism Network; 1rudeboy

“free trade” isn’t conservative. The people who have corrupted the republican party for the sole purpose of achieving a global socialist system have used the falsely named “free trade” as a tool to do it. These people are far from conservative. And apparently they’ve pretty nearly finished the job with the nationalization of Wall Street, and the use of the US taxpayer as a virtual bank for communist china and other countries ‘saved’ by the AIG bailout.


20 posted on 09/18/2008 9:32:08 AM PDT by hedgetrimmer
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