Tuesday, December 02, 2008
Bail outs
The buzzword for this month is bail out. One meaning is when you leap out of a dying vehicle before it smashes into a million bits. Another meaning is to remove slimy bilge water hopefully fast enough so the boat doesn't sink. One more is paying money so some crook (OK, alleged crook) can walk free. I wonder which fits the banks and automotive industries.
What I really wonder is why them and not the local businesses that are going down the tubes faster than sign-makers can put up "out of business" signs. Has anyone done a cost analysis to see if giving $500 billion to a couple of big banks saves more jobs than giving $50,000 to Mom and Pop to save their coffee shop? And why does a CEO need to be coerced into taking a pay cut from $25 million annually to show he's determined to rescue the business he led into the red?
I'd like to know how much of this banker and auto money has filtered down to the people it's supposed to help. I have a house I can't sell that's worth much less than I paid and somewhat less than I owe (so, yes, I'm better off than some). It's a nice older 1600 sq. ft. home with central air, new siding and a two car garage and no one can come up with $45,000 to buy it. Sorry Mr. CEO, but that fact you feel $25 million a year is just barely enough to put a kid through college doesn't impress me much. How do you manage to spend $25M a year anyway? I realize you have business entertainment expenses and security issues, but my god man, $25M worth?
Don't get me wrong. I'm not asking for a handout right now. I'm doing OK. But I'd really like someone else to get some help so they can buy my house, raise a family, and even send their kid to college - and I'm sure they could manage it on a lot less than $25M.
Labels: government, gripes
