Lawmakers Grill Bailout's Architects

Paulson, Bernanke Tell Lawmakers Strategy Needs To Be Flexible

(CBS/AP)  Treasury Secretary Henry Paulson told Congress Tuesday he opposes tapping a $700 billion taxpayer-funded pool to help struggling U.S. automakers as he and Federal Reserve Chairman Ben Bernanke defended their management of the bailout program, just one week after the administration abandoned the original strategy behind the rescue.

Although having a U.S. auto company fail during such a fragile time for the economy would not be a "good thing," Paulson told the House Financial Services Committee that he remains against diverting some of the bailout money to aid Detroit as the panel's chairman Rep. Barney Frank, D-Mass., and other Democrats want.

"I don't see this as the purpose" of the bailout program, which is intended to stabilize jittery financial markets and get lending flowing more freely again, which eventually should help revive the ailing economy, Paulson said.

The U.S. had "turned a corner" in averting a financial collapse, but more work needs to be done to get things back to normal, he said.

Focusing the program on infusing billions into banks - and possibly other types of companies - to pump up their capital and bolster lending to customers was deemed a faster and more effective approach to stabilizing the financial system than buying rotten assets from financial institutions, the centerpiece of the original plan, Paulson said.

Buying those toxic debts would have required a "massive commitment" of the bailout money, Paulson said in testimony before the House Financial Services Committee. As economic and financial conditions quickly worsened, it became clear that the first installment of the money - $350 billion - for that purpose "simply isn't enough firepower," he said.

It's crucial that the administration be nimble in assessing changing conditions and adapt the bailout strategy accordingly, the Treasury chief said. "If we have learned anything throughout this year, we have learned that this financial crisis is unpredictable and difficult to counteract," Paulson said.

Last week, Paulson changed course and said the government would not use any of the $700 billion to buy bad assets from banks. That had been the focus of the plan Paulson and Bernanke originally pitched to lawmakers.

"There is no playbook for responding to turmoil we have never faced," Paulson said. "We adjusted our strategy to reflect the facts of a severe market crisis."

But lawmakers worried the administration was sending confusing signals to taxpayers and Wall Street investors.

"We all understand that when conditions on the ground change, policymakers must be agile enough to adjust to those changed circumstances," said Rep. Spencer Bachus, R-Ala. "But changing too quickly, without adequately explaining why you've changed or what you're going to do next, risks sending mixed signals to a marketplace that is in dire need of certainty and a sense of direction."

Rep. Paul Kanjorski, D-Pa., complained about the administration's "180 degree change in policy," which he didn't necessarily fault, but suggested could hurt public confidence. "Do we have a plan? Where are we going?" Kanjorski asked.

In a profile published Tuesday in The Washington Post, Paulson said he was also working on a proposal that would allow the government to take over a wide range of financial institutions - not just banks - that are in danger of collapse.

In an interview with 60 Minutes' Steve Kroft, President-elect Barack Obama was measured in his assessment of Paulson's handling of the massive government bailout.

"We've got an unprecedented crisis, or at least something that we have not seen since the Great Depression," said Obama. "And I think Hank [Paulson] would be the first one to acknowledge that probably not everything that's been done has worked the way he had hoped it would work. But I'm less interested in looking backwards than I am in looking forwards."

Going forward, the ability of Treasury to use the bailout program for capital injections and to take other steps to stabilize the financial system - including any actions needed to prevent the disorderly failure of a major financial institution - "will be critical for restoring confidence and promoting the return of credit markets to more normal functioning," Bernanke told the panel.

Paulson said the department will focus on rolling out a capital injection program to pour $250 billion into banks in return for partial ownership stakes in them. Treasury on Monday confirmed that it supplied $33.56 billion to 21 banks in a second round of payments. That followed the initial $125 billion allocated to nine of the country's largest banks, and brought the total earmarked payments to $158.56 billion.

Treasury also will search for new ways to boost the availability of auto loans, student loans and credit cards, which have been become harder to get due to the credit crisis.

Specifically, the department along with the Federal Reserve, is exploring using some of the bailout money to bankroll a new loan facility designed to help companies that issue credit cards, make student loans and finance car purchases. Paulson said he expected putting up only a "relatively modest share" of the bailout money for this facility.

Paulson repeated his opposition to using some of the bailout money to provide guarantees for mortgages at risk of falling into foreclosure, another huge source of distress for the economy. The incoming Obama administration may approach the mortgage crisis much differently.

"One area that I'm concerned about, and I've said this publicly, is we have not focused on foreclosures and what's happening to homeowners as much as I would like," Obama said in his 60 Minutes interview. "We have the tools to do it. We've gotta set up a negotiation between banks and borrowers so that people can stay in their homes. That is gonna have an impact on the economy as a whole. And, you know, one thing I'm determined is that if we don't have a clear focused program for homeowners by the time I take office, we will after I take office."

In a break with the administration, Federal Deposit Insurance Corp. Chairman Sheila Bair, also testifying before the panel, pressed anew for using $24 billion of the bailout money to help some American households avoid foreclosure. As foreclosures mount, the government is "clearly falling behind the curve," she said.

Bernanke, meanwhile, called Bair's plan a "very promising approach"

So far, the Treasury Department has pledged $250 billion for banks and has agreed to devote $40 billion to troubled insurer American International Group its first slice of funds going to a company other than a bank. That leaves just $60 billion available from Congress' first bailout installment of $350 billion.

Paulson said he is not planning to initiate another capital injection program beyond those already announced. Thus he's unlikely to tap the remaining $350 billion before the Bush administration leaves office on Jan. 20. That would mean the incoming Obama administration would decide whether and how the money should be spent.

The idea behind the capital injection program is for banks to use the money to rebuild reserves and lend more freely to customers. However, banks do have the leeway to use the money for other things, such as buying other banks, paying dividends to investors or bonuses to executives. That has touched a nerve with some lawmakers.

Locked-up lending is a prime reason why the U.S. is suffering through the worst financial crisis since the 1930s. All the fallout from the housing, credit and financial crises have badly hurt the economy, which is almost certainly in recession, analysts say.

Frank has been tapped by House Speaker Nancy Pelosi to draft an aid package for Detroit. The auto companies are seeking $25 billion for emergency loans.

Executives from Detroit's Big Three automakers were scheduled to appear before the Senate Banking Committee in hopes of prodding Congress to provide a rescue package that has stalled in the face of White House opposition.

[stupidrules3]

I said from the beginning that this was all done without enough thought. Now we see the treasury secretary abusing the leeway he was granted by a panicked decision. These financial institutions are going to abuse the money they are being given as surely as government is going to waste our money and politicians are going to lie.

[attheapex]

As I sit here this morning before dragging my sore and tired 52yo butt out the door to work out in another cold snowy day, all I can do is shake my head and wonder where all this will lead.I''ve tried to do everything right in my life,not buying what I couldn''t afford, paying all my bills on time and helping others whenever possible.It disgusts me to no ends to see my house decline in value and my retirement money disappearing because all the monied people couldn''t or wouldn''t do the same thing.Oh well, at least I still have a job, for now.

[pirmin3]

These two idiots won''t be around much longer so lets hope they cant do too much damage until they''re gone.

[hitoyou1]

Talk about two idiots tellinf lies. I hope they don''t do much more damage. They did enough last time with the banks. How much money di they want to steal from the tax payer.

[ocasanas]

I agree with several postings here: look at their smiles. It''s not just on this photo, but many recent photos have been showing all those top bosses full of smiles as if "nothing happened" (yeah, to them).

[gop_will_win]

What are these liberals doing now? We are in an economic crisis and they are going to question these men of hifh integrity? They should be doing something to help fix the economy like passing tax cuts for the rich or helping to offshore manufacturing jobs. If this is an example of whats to come for the next four years then we are in trouble.

[panhandlpete]

When you give your kids ''lunch money'' and they fail to buy their lunch with it.....they face consequences, don''''t they? These SEG crooks have, once again, hoodwinked the American taxpayers via Congressional representatives who voted them $700 BILLION to bail out the rich investors of WALL STREET. Their original story was that ''sure doom and chaos'' was upon us if the money was not given to ''buy up rotten mortgages'' so home foreclosures would not take place.

SOMEBODY, SOMEWHERE should be held responsible for all these bad decisions. They are truly crimes of theft, deception, and coersion. These crooks have invaded the national treasury much like a local theif enters a home and ends up being charged with burglary/theft. Just like religion should stay out of politics, the government should not own BANKS, partially or completely.

[paidgopshill]

SOMEBODY, SOMEWHERE should be held responsible for all these bad decisions. They are truly crimes of theft, deception, and coersion. These crooks have invaded the national treasury much like a local theif enters a home and ends up being charged with burglary/theft. Just like religion should stay out of politics, the government should not own BANKS, partially or completely.

Posted by panhandlpete

Not only should the government own banks, they should mandate a morning prayer for the bankers and their employees. Only god can save us now from the greed and sloth of the liberals.

[longtree-2009]

bernanke and paulson should be in prison right now. anyone responsible who should have included strict oversight on the 700 billion should be tossed out of office or imprisoned too.

[jerryspoor]

??? Wall Street investment firms still plan to hand out roughly $14 billion in year-end BONUSES!!!???

What does this tell you? Does this mean if I make a serious financial blunder with my personal finances I will then get a great big bonus check? I''m sure all the other readers here will send me the money.

[gop_will_win]

??? Wall Street investment firms still plan to hand out roughly $14 billion in year-end BONUSES!!!???

What does this tell you? Does this mean if I make a serious financial blunder with my personal finances I will then get a great big bonus check? I''''m sure all the other readers here will send me the money.



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Posted by jerryspoor
=======================
It tells me that you engage in class warfare. Those executives deserve those bonus checks and those who dare question this are the same as terrorists.

[docpeter1953]

Not only should the government own banks, they should mandate a morning prayer for the bankers and their employees. Only god can save us now from the greed and sloth of the liberals.

Posted by paidGOPshill at 08:43 AM : Nov 18, 2008
______________

First of all, God should be capitalized GOP.

If you get the bank employees praying the may begin "testifying" and "signifying" against their bosses "the bankers". Not too sure that is what the GOP wants from their toe-the-GOP-party-line bankers. If that happens I am sure that God will listen and have a few if thise greedy souls confess their sins and turn over a few more for proisecution.

[mellowdaddy]

Lies, lies and more lies....won''t someone please pay off my mortgage and my credit cards, and while you''re at it, how about paying off my car too. PLEASE, stop throwing more money at these problems, let them file chapter 11 and be done with it.

[gop_will_win]

Once again, conservative stupidity rears its ugly head. This is not a "liberal" mess; this is solely the fault of Bush and his conservative cronies. The best thing this country ever did was not to elect John W. McBush as president, giving some idiot conservative a third chance to screw things up all the more. "God" is no more on the side of conservatives as right is; conservatives have proven their are incapable of governing, and they need to be removed.


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Posted by tj217
======================
How can say this is Bushs fault. Clearly he has no responsibility here and you are trying to make this a partisan issue and deflect the the blame from the liberals.

[gop_will_win]

That is about the DUMBEST thing I''''ve ever heard! The executives---whose greed and incompetence were one of the main reasons for this financial fiasco---"deserve" their bonuses? That is laughably stupid and incorrect! How in the hell can any executive of any of these failing comapnies legitimately claim they "earned" any of the bonuses? There is no way. Get real...


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Posted by tj217
=====================
They were the real vicitms here. The low level employees would approve loans to people who didnt have the means to pay it back. I feel sorry for the executives here and maybe their bonus check can halp them overcome their feeling of victimhood.

[tbuckl]

All hands on deck! All hands on deck! She is going down at the bow, abandon ship! abandon ship! Man the life boats. All hands on deck, this is not a drill, this is not a drill, man the life boats. Mayday mayday this is USS American we are taking on water and going down, Mayday mayday this the USS Americna we are taking on water and sinking, life boats are being deployed, we are abandoning ship at this time.

[patay2k]

Where are we going from here? we taxpayers are carrying the burden of bailing Wall Street, insurance companies, banks and now auto makers? while the people that got us into this continue getting huge bonuses and the people that will be paying for those bonuses are losing their homes? if a regular taxpayer is sacrificing by shouldering the 700 billion debt shouldn''t the rich executives do their part by giving up their bonuses? that is the least they can do if they have any honesty and integrity left, and they should be glad that they are not being prosecuted for their mistakes, dishonesty and excessive greed. I totally disagree with giving up some of my meager income so the greedy continue having caviar and champagne on their yachts, that is just obscene.

[paidgopshill]

Where are we going from here? we taxpayers are carrying the burden of bailing Wall Street, insurance companies, banks and now auto makers? while the people that got us into this continue getting huge bonuses and the people that will be paying for those bonuses are losing their homes? if a regular taxpayer is sacrificing by shouldering the 700 billion debt shouldn''t the rich executives do their part by giving up their bonuses?

Posted by patay2k

It''s flawed reasoning like this that got us labeled as a nation of whiners. It never fails to amaze me that at the first sign of mental recession, the libs are ready to throw the baby out with the bathwater.

[walt1944-2009]

Both Henry "Old Baldy" Paulson, the "Head of the Tres", and Ben Bernanke, the "Head of the Fed", will testify before Congress today about what is happening with the $700 billion that it was so IMPORTANT they had to have and is now being spent in ways NOT in keeping with the original intent.

The "Frick and Frack" of the Great Emperor Bush II intend on giving the members of Congress a "Dog and Pony Show" comparible to the shows given to Congress by Alberto "The Great Gonzo" Gonzales, complete with dumb looks, stuttering, and nonsense answers!

The bottom line of all this is that ONCE AGAIN, the Great Emperor Bush II has shown that he can con Congress and the average citizen into ANYTHING, no matter how stupid it is, and get away with it!

SIG HEIL, I''M JUST A GOOD OLD EXPERT CON MAN!!!, BUSH!!!

[takebackusa]

New American Motto: Quit your job, file for bankruptcy and ask for your BAILOUT check!

Posted by hclinton2012 at 09:30 AM : Nov 18, 2008

Don''t forget to ask for your Bonus check also! Being incompetent and irresponsible should always be rewarded with a multimillion dollar bonus !

[antoniof123]

Thank you Republicans for another lie we are still watching and by 2010 there will not be enough of you left in congress to make any difference.

Have a rotten day and rot in you know where.

[donevis-2009]

I believe the stock market was manipulated by wall street to crash so that this bailout could be implemented.
Posted by demswin08

Hopefully congress will demand and get some sort of transparency of where our money is going. As far as manipulation of the market it''s become apparent that the daily ticker is no longer a economic indicator, as much as it''s become a score board for the floor players. With daily swings of hundreds of points it means nothing to the average investor anymore. Our system is being hijacked from under us and these financial big guns are doubled over with belly laughter as they pull off the most gigantic rip-off in the history of the world.

[berniew4]

CAPITALIESM should be simple!!.. Make a profit ,be successful, pay top bonuses PAY OUT OF PROFITS and continue your great company. We now want to punish the successful ones and reward the failures. Are you sure OBAMA,DEMO,LIBS are against this thinking ?? will help . This is stupid. Let them fail and be replaced by new profitable execs. Let them be replaced by the OIL COS EXECS DRUG CO EXECS WALMART ETC

[gop_will_win]

George "Stupid" Bush was wrong in offering this "bailout" plan from the beginning. Let the markets work things out for themselves. Companies go out of business everyday, file for bankruptcy and move on. This plan was a "failure" from the start!


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Posted by hclinton2012
============================
Excuse me? The bailout plan was an idea from the liberals.

[scb111_11]

Let the Markets work their problems out without anymore of the taxpayer''s monies. If they go bankrupt, so be it. The ''free-market" system is a $56 trillion business in the American economy. It can take a $5 trillion hit and recover.

[gop_will_win]

Excuse me? The bailout plan was an idea from the liberals.

Posted by gop_will_win at 10:23 AM : Nov 18, 2008

ROFL!!!


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Posted by CBSNews53
========================
Laugh all you want liberal but that doesnt negate the fact that this is all the fault of liberals.

[scb111_11]

Posted by Hackerpc at 10:37 AM...many countries during the meeting of the G20 already ask to move monies away from the US dollar?

[berniew4]

PEOPLE never learn from history. In 2w006 the economy was fine. OLEEEZE bring me back to 2006
. Then the demos won congress and OBAMA started winning attention. now look at us. Wait until late JAN. Will we ever recover ?? OH YESS We should blame BUSH That excuses the stupid demo/libs who will now be in charge with NO NO NO reposibilty for anything ??

[wdrussell1]

This is just like Iraq. Bush gets hundreds of billions, hands it out to his friends, then goes back and asks for more hundreds of billions.
Sure something has to be done. Trickle down recovery will be as big of a failure as trickle down economics.

[babooph]

Paulson -give massive taxpayer funds to the failed crooks-they then they lay off their work force & use the $ for billions in "BONUS"$ for themselves-the propaganda system sells Bernanke & Paulson as the "BRAINY ONES "!!!

[scb111_11]

Much of these bailouts for Fannie Mae and Freddie Mac to pay debt held by China and Japan!!!

http://www.bloomberg.com/apps/news?pid=20601087&sid=aFQwLGTYEM3Y&refer=home

[whitemale08]

This is PATHETIC!!!

The American people begged you guys to say "NO TO THE BAILOUTS"!!!!

Now you look stupid asking these clowns "WHAT HAPPENED TO THE BAILOUT MONEY?"

THE AMERICAN TAX-PAYER IS BEING LOOTED RIGHT NOW!!!!

No help for foreclosures just billions handed out to Goldman Smacks to buy up banks and consolidate when they are absolutely and with out a doubt BANKRUPT!

Instead of hearings, haul off ''helicopter-Ben'' and Hank the Snake Paulson off to jail and SHUT-DOWN THE FEDERAL RESERVE SYSTEM NOW!!!!!

These ''wise-guys'' are doing nothing more then SUCKING the BLOOD out of the American people to save over a QUADRILLION IN WORTHLESS DERIVATIVES!!!!!

CALL CONGRESS AND TELL THEM TO ''SHUT-DOWN THE DERIVATIVES MARKET NOW"!!!!

[whitemale08]

CALL CONGRESS AND TELL THEM TO "SHUT-DOWN THE FEDERAL RESERVE SYSTEM NOW"!!!!!!

REPUBLICANS AND DEMOCRATS UNITE AND TELL CONGRESS TO ''SHUT-DOWN THE MULTI-QUADRILLION-DERIVATIVES MARKET NOW"!!!!

[ocasanas]

Now they aren''t smiling any more as it was the case on the first picture earlier this morning.

[hoodwinked3]

Understand that the very existence of a business flows through your wallet. If your wallet is open then businesses will thrive and if it is closed then businesses are destroyed. What I%u2019ve witnessed so far is that there has been no attempt to free up the income that we earn by lowering/removing taxes and/or lowering/removing interest rates. Our government has chosen to funnel our tax dollars directly to where THEY WANT IT, to where it will benefit them the most and bypass the interest of the %u201CPEOPLE%u201D completely. If they are supportive of a true free market economy then they must give back what I earn on the front end so that I can place that cash where I WANT IT and ultimately that money will support businesses on the back end. But that is what they are afraid of. They don%u2019t want %u201CWE THE PEOPLE%u201D to gain from their mistakes - to gain an edge over big government - nor can they place the interest of THE PEOPLE before their own. That%u2019s why government and big business are in this mess together because they are now one and the same. It%u2019s all one big investment party and we%u2019re not invited! If the people gain then the businesses will gain %u2013 NOT THE OTHER WAY AROUND!!

[whitemale08]

REPUBLICANS AND DEMOCRATS UNITE AND TELL CONGRESS TO CANCEL THE CHARTER OF PRIVATE FEDERAL RESERVE SYSTEM!

WE MUST DO THIS NOW BEFORE WE ARE EATEN ALIVE BY OVER A QUADRILLION IN WORTHLESS KRAP DERIVATIVES!!!!

[gop_will_win]

Everybody''''s talk''''n about ''''maybe its a good thing to let companies go bankrupt''''.. well, maybe its a good thing too if the country does.


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Posted by william7900
======================
Your money will be worthless then.

[antoniof123]

Paulson, Bernanke Tell Lawmakers Strategy Needs To Be Flexible

Alright NO BONUS can you tell them that.

[perceptions5]

LOOK the Democrats in our 110th Do Nothing Democrat Congress were the ARCHITECT''s who CREATED this bill.

You mean they don''t even know what they authorized?

If this clueless liberal underperforming bunch think they can do a better job than a guy who knows how Wall Street works, Paulson............................... then take the reins Democrats.

Gee whiz who are the clueless Dems going to blame after January 20th?

After all this is the same bunch that came to power nearly two years ago that took their eye off the economy to conduct their "poitical lynchings" and endless votes on "US troop withdraws" from Iraq.

And of course the most corrupt and worthless institution in America today, our mostly corrupt liberal NAZI-like MSM wolfpack press covers for them.

Just like they did for their new hero Obama.....................................sad and true.

[be_real]

Lawmakers Grill Bailout''s Architects
Paulson, Bernanke Tell Lawmakers Strategy Needs To Be Flexible

How many meetings they need to make a frinking decision? C''Mon lets get this $hit moving already people.

[steamed2]

So Paulson appeared before Congress saying he had changed his mind because ''it had become clear that the first installment of 350 billion wasn''t enough horsepower''? This is the guy that in 1999 lobbied for repeal of the Glass-Steagall Act of 1933, and in 2004 urged Congress to release the major investment houses from the net capital rule, the requirement that their brokerages hold reserve capital, thought to be one of the major causes of the ''meltdown''. In the bailout''s original form that Paulson tried to pass, it said "Decisions by the Secretary .....are non-reviewable and committed to agency discretion, and may not be reviewed by any court of law or any administrative agency." And you people are wondering what''s wrong. Oh, brother! One of the guys that should be locked up is still in charge, for crying out loud! Its clear that Congress knowingly misled us and assisted in the malfeasance ongoing in the financial sector of America today. If you would like some interesting info, check out http://www.peak.org/~LW584

[whitemale08]

How in the Hell did Hank the Snake Paulson pass Congressional confirmation?

Didn''t the Republican Congress at that time see a ''conflict of interest'' between Mr. Paulson and Goldman Smacks?

This is ridiculous.

This clown has to be fired or impeached RIGHT NOW!!!

[paidgopshill]

Gee whiz who are the clueless Dems going to blame after January 20th?

After all this is the same bunch that came to power nearly two years ago that took their eye off the economy to conduct their "poitical lynchings" and endless votes on "US troop withdraws" from Iraq.

And of course the most corrupt and worthless institution in America today, our mostly corrupt liberal NAZI-like MSM wolfpack press covers for them.

Just like they did for their new hero Obama...................................
..sad and true.

Posted by perceptions5 a

This is a "real American" from "real America" that happens to have his head screwed on right, unlike all you liberals out there!

[whitemale08]

Obama...you have to show some guts and start ''OPPOSING WHAT BUSH AND PAULSON IS DOING''!!!!

The American people will still BLAME YOU for not fixing the problem!

And don''t count on the Republicans who voted against you to remember that you sided with the Bush Administration.

YOU WERE ELECTED TO STOP THEM NOT JOIN THEM!!!

[getoffmine1]

it is odvious that all homeowners should stop paying their mortgages immediately. One of two things will happen, we will be bailed out, because the mortgage industryis to big to fail, or the economy collapses and we take the rich who caused this down with us.
JFK was wrong when he said "Ask what you can do for your country, not what your country can do for you". In a capitalist society the individual does not owe the country or anyone else anything. It is about the freedoms of the individual. If the U.S. is not about that anymore who cares if it fails?

[barbaraf4]

Not that anyone in Washington is listening to me; however, I suggest no more bailouts until we have complete accountability. I can''t believe this administration just hands over billions of dollars without oversight. This practice permeates all levels and all aspects of this administration. From Halliburton and Blackwater to Paulson and everything in between.

[perceptions5]

Not that anyone in Washington is listening to me; however, I suggest no more bailouts until we have complete accountability. I can''''t believe this administration just hands over billions of dollars without oversight. This practice permeates all levels and all aspects of this administration. From Halliburton and Blackwater to Paulson and everything in between.


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Posted by barbaraf4 at 11:46

======================================

Yeah barbaraf4 and your hero Obama said that he put "oversite" in this bill.

Where is it? Or did Obama just lie to us?

[whitemale08]

Obama is quickly becoming Annakin Sky-Walker who turned into Darth Vader.

Remember the last scene in Star Wars Episode III when Obi-Wan scolded him: "You were the Chosen-One who was supposed to destroy the Sith not join them".

Remember you Mr. Obama, was elected to DESTROY the disastrous policies of the Bush administration NOT JOIN THEM!

[sockpuppet4]

Why should I pay someone elses house payment? Bail Autos? Two seperate things are ruining our society. One is unfair free trade. We allow anything into our country. Other countries tax anything we send there so as to make it cost to much to buy over there. If we matched import tax for import tax on all items our problems would disappear. We would have Fair free trade. Really fair. The second thing facing our ability to sell cars besides outlandish pricing of the vehicles and costs of health care profits is the auto dealers themselves. Any attemp made to produce a low cost economical vehicle is buried by the auto dealer greed. They inflate warranty costs and unsell the lower profit vehicles. The dealers do this for larger profit. The largest profit vehicles are always the high end gas gusslers. Reinstate fair import taxes, and pay auto dealers a fixed profit on all vehicles no matter which model and most problems will go away. Auto companies in america will flourish. After that we can focus on a national health care programs, and down to earth realistic pricing of vehicles. Prices in line with what is actually paid to workers so as to allow people to afford them. Auto companies are competing for money with silicon valley and its like apples and oranges. Auto companies want to dominate in a world that has out grown them. Its time to get down to earth and focused on reality. Stop the Greed.

[arnldmartin]

I would myself give the big three a bailout before I would the corrupt Banking institutions that we are bailing out now.This isn''t going to work because their greed is too deepseated.They are getting money now and still will not lend,so what does that tell ya.At least with the Auto bailout we might possibily save a few million jobs for Working class America.In all of this I have seen nothing trickle down to the real working class.Nothing for foreclosures and nothing price wise.Regulation is what we need so that these greedy fools stop shooting themselves in the foot.