I Agree: The Bailout is a Bad Idea

Prof. Lessig has a good rant about it.

Detroit needs a shock, and that may mean GM, Ford, and Chrysler die, or get replaced by someone else. The one thing I do agree with, and I want to ensure doesn't happen, is that the retirees get screwed. Let them go bankrupt, but protect the pension obligations first.

As far as jobs, the unions can dissolve and help people and then most of these people can get jobs with whoever decides to continue manufacturing cars. Someone will, so it's not like there won't be any jobs.

It will be a shock and ripple, but to some extent that's what's wrong with this industry. Every time a shock occurs, cheap oil has bailed them out and they run to high profit, not high efficient cars.