I am truly conflicted by the proposed bailout. For one, I beleive in a free market economy and "bailouts" by nature unduly affect the due course of unprofitable/mismanaged companies. It essentially rewards failure, while profitable companies are not given any other incentive than their own ingeniuty.
The collapse of the mighty GM/Chrysler/Ford is ironic in that the companies are actually collectively producing better quality cars. (even using Consumer Reports reliability ratings, American vehicles have improved greatly that the least reliable vehicle in their rating system is substantianly better than similiar vehicles five years ago). The UAW has agreed to a landmark agreement to absorb the healthcare costs of its retirees. (it is estimated that future UAW plants ( 3 to 5 year timeframe) will have a comparable cost structure as the Non union Toyota plants.
While there is legitimate blame to go around for all the follies of the Big 3, one must remember the importance of the auto industry to the US (and Canadian) economies. A collapse would not only affect auto employees, but countless suppliers, towns in immediate veicinites, ancillary businesses, and another loss of capital goods production in the NA continent.
