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  • Beat the Dealer-Is the Obama administration turning Chrysler into a patronage machine?(dealergate)

    05/28/2009 8:46:18 AM PDT · by STARWISE · 37 replies · 1,714+ views
    Wall Street Journal ^ | 5-27-09 | James Taranto
    When people talk about the problems that have driven Chrysler to bankruptcy and General Motors to the brink thereof, they usually have in mind the companies' excessive commitments to those who build their cars: the high wages, lavish benefits and irrational work rules written into union contracts. *snip* Closing down dealers thus requires a big outlay of cash that produces dividends only in the long run: It cost GM $583 million to compensate its 699 Oldsmobile dealers after it decided in 2000 to phase out the brand. That's $840,000 per. . . . *snip* "What dealers need to do is...