In the words made famous by sitting First Lady Nancy Reagan, I would reiterate, "Just say 'No'." Of course then we were talking about drugs and their destructive effect on society. Come to think of it, we still are - only this time the drugs are bailouts.
Apparently unions want the bailouts. That's not surprising. I still vote no.
Businesses don't need bailouts - ever. Still voting no.
Think free enterprise. It doesn't include bailouts.
Imagine this, the top U.S. automakers - once the envy of the entire world for industrial know-how, ingenuity, and muscle, now hardly have a pulse. Once a safe bet for stock market investors and part of many stock portfolios. Now, the chief executives and the union brazenly waltz into to Washington for a taxpayer bailout, but only because they are lousy managers who have allowed their companies to teeter on failure. They have disregarded their stockholders and the balance of the American economy in the process. They really don't deserve to remain in business if the only way that can happen is with government assistance. I can't imagine how any of them have kept their jobs. They all need to be fired and replaced - yesterday.
If Congress caves in on this one, who is next in line? Homebuilders? Airlines? Local governments? I know, the government could own all of the jobs.
Just say "no." It's a great feeling. So liberating. I hope it's not too late.
───
For more information on my coaching and educational programs and services, sales tips, insights, or strategies, visit my website stevehoffacker.com or my other blog homesalesinsights.com. © Steve Hoffacker, 2008. All Rights Reserved.
Steve you are right whats next. I think these guys in power want more and more control,
Steve, With the rate they are hemorrhaging money a $25 billion dollar bailout won't last three months. Whatever happened to pay for performance.
Steve,
You are right! Giving bail outs is not the thing to do. Reorganize and get rid of the CEO'S!!
John,
There's really a few issues at play here - unions have been very greedy at the expense of the automakers ability to remain competitive, the automaker execs have exercised very poor leadership and judgment for allowing it to get this far, and Congress does enjoy passing out the money - although they are taking their time so far with this one. :)
Steve
Richard I.,
Maybe they should deed the companies over to Congress and be done with it. Now Washington is talking about a cabinet level Car Csar. :)
Steve
Mary,
Here. Here. Agreed. Sell the companies to the highest bidder and let them start over. :)
Steve
Steve, unfortunately our vote doesn't count for a whole lot, but this same theme is running in my crowd as well.
Hi Steve
This auto bail out is bad news, the unions want to own a percentage in the auto companies and to sit on the broad of directors.
Good luck and success
Lou Ludwig
Steve, as you have stated, bailouts aren't the answer. In the case of the auto makers, a few billion isn't going to turn them into viable enterprises. Failure will be painful in many ways, but it's what capitalism is all about. Do well and succeed; do poorly and you fail. It's too simple for politicians to understand.
Steve.. If these auto companies get bailed out.. why don't we as realtors try. At this point we have nothing to loose.
Gail,
From what I hear the country (except the union households) are pretty much against the bailout. :)
Steve
Lou,
I saw a video of a new Jeep assembly plant the other night - clean, modern, all robotic. That's the way to do it - no workers, no union, cut costs. :)
Steve
Valerie,
That's just what they want. They like being sugardaddy to us. No bailouts to anyone. Cancel all the ones just funded and get the money back. :)
Steve
John,
Bailouts definitely won't make a difference here. They have no plan and no discipline. Nothing will change. This is just an infusion of money to spend - very short-term bandaid. :)
Steve
These bailouts sure scream "Don't worry about prudent business decisionmaking. Big government has your back." Our reliance on the government to solve every problem will apparently end only when the money runs out.
It's never been so invigorating then now to say NO!
"only because they are lousy managers who have allowed their companies to teeter on failure."
Isn't that the truth!?! The sad thing about it is that even though a large majority of the American public is saying no- congress just doesn't get it. I guess they can't read our lips.
Dave Ramsey said that for the congressmen who voted FOR the bailouts- we need to send them a message and that is by voting them out, calling their offices and expressing your discontent. We are going deeper and deeper into the rabbit hole. If we don't do anything now- to get our voices heard- they will continue the downward spiral till we are some sort of socialist mess. Don't let this happen!
Thanks for sharing, Nicole Weidauer
The Egerer & Weidauer Team, Keller Williams Realty North Seattle
Nicole,
For months I have been advocating a major house-cleaning (pun partially intended) in Congress, but America didn't listen. They voted in the same scoundrels (not all, but many) who didn't deserve to be there in the first place. There is a funny thing about Congress. Get elected once, pass out enough earmark money, don't do anythiing overtly scandalous or illegal, and the job is yours as long as you want it. :)
Steve
Steve...
Why should we support these industries that don't care about the consumer? Let them rise and fall on merit, not tax dollars!
Ryan,
I wouldn't even count on that. There's always fiat money and runaway inflation. :)
Steve
Richard,
I beginning to think that we have lost our way - that responsible enterprising businesses are no longer appreciated. I would definitely replace all of the key people in every business that we are supporting financially - and at significantly lower compensation. :)
Steve
Hi Steve - The gov't has already bailed out the airlines, twice in my recollection. If the auto makers fail the trickle effect will be unbelievable to mainstreet, you and me. The number of jobs on the line aren't just the auto execs or the auto workers. The effect is on the dealerships, the companies that make parts, many - many US companies... and so on. Think about that. They deserve a bailout more than the banks did, and the banks didn't even have to do the begging that's going on.
I think the cost of upper management in most US businesses is insane. Who is worth 35 million a year? Who should get the golden parachutes for doing a wrotten job? How did all this get started anyway..... The companies need to stop worrying about what a line worker makes and cut the real cost, the big numbers of upper management.
Just my opinion. :)
Better still Steve.. how is this idea. With the $700 billion, give each household.. regardless of how many live in it... a cool $25k... That would make an impact on the economy too.
April,
I agree that there can be unintended consequences when a large business fails. But that can spawn so many smaller businesses. I am against bailouts. That is the worst form of government investment. It cripples business and takes away their initiative. If government needs to ante up some retraining, stimulus, low-interest SBA loans (or even grants), or unemployment money, that would be preferable to bailouts. :)
Steve
Valerie,
I do agree that this is a preferable expenditure and I suggested something similar in an earlier blog. Therefore, great idea. :)
Steve
I say no with you, but I don't think we are allowed to vote! Seems that congress has forgotten the majority of U.S. citizens voice for the vocal special interest groups. Today I think the auto makers (unions) will get their money.
Unless we citizens ban together and fire the politicians, it's going to get worse and worse.
P.S.
In my last comment, I should have said "working" citizens need to ban together. Unfortunately the power politicians want more and more of us dependent on them to give us money and keep us not working...but then wo will pay?????
I agree with you. The bailouts are a bad idea and I don't see anyone handing me a check because my business is not making as much money as last year....