You’ll hear the MSM pronouncing how the gov’t loans saved Chrysler under Iococca. For those who remember, the gov’t held warrants at $9+ for lots of Chrysler stock. When Iococca went to pay off the debt early, part of the deal was that the gov’t give back the warrants. I recall Chuck U Schumer not being so warm toward that deal, because the gov’t could have made tons of money by exercising warrants when Chrysler stock was above $20/share. The warrants would have ruined the run up. But the gov’t gave in.
The situation is still the same - car companies basically blackmailing the gov’t by threatening to put millions on unemployment conpensation, which even with a bailout now, that scenario is still in the future - ie. money down the drain. Iococca did the same with England when he ran Ford there, way back when. His ‘executive ability’ was way overrated.
I am less worried about the unemployment insurance than I am about the costs that might fall on the PBGC (pension benefit guarantee corp, a federal entity that doesn’t need deep pockets because it just reaches into ours)