I've been keeping quiet about the whole financial melt-down and trillion dollar bailout thing. I just wanted to wait until I felt I had a decent amount of information before spouting off and saying something stupid.
Now the time has come. I will say something marginally informed, yet still stupid.
I don't believe these failing corporations should be bailed out at all. It's not the duty of each and every American taxpayer to reach into his or her back pocket and shell out several thousand dollars to save a business just because that business happens to be huge. Taxpayers should not have to pay for the collective stupidity of a few hundred (or maybe even thousand) greedy idiots who made bad decisions while trying to turn their billions of dollars worth of assets into even more billions of dollars worth of assets.
By "bailing out" corporations that made bad business decisions, the government provides positive re-enforcement for making bad business decisions! That is, the government will only be encouraging risky corporate behavior and general irresponsibility. Why should any company make anything other than high risk decisions, knowing full well that in the event of failure the government will reward them with billions of dollars?
Here is my counter proposal:
Let these companies fail. And fail completely. Liquidate their assets and pay off their creditors as best as possible. Let every single employee from the mightiest CEO to the poor schmuck who cleans the toilets find themselves out of work.
There is already several mechanisms in place to protect those who could be harmed. The aforementioned employees, for example, can file for unemployment compensation. That is what unemployment compensation is for! In this scenario the CEOs who made the bad decisions will be more adversely affected than the honest workers down the chain. ("Oh, you were a bank teller until your company failed ... " will not look bad on a resume. "Oh, you drove one of the five largest corporations in America into the ground ..." on the other hand, will. Or at least should.)
If there is going to be any kind of bail out, it should be for people, not for companies. The government can go ahead and create a fund that individuals (human beings, not corporate entities) who feel that they've been harmed by this financial disaster can apply for aid. Let the government do what it can to help taxpayers keep their homes, and not lose their savings. Their needs to be a review process in place so that no one is taking advantage of government hand outs. And then cap any such assistance at a reasonable amount -- say $250,000 per person. A quarter of a million dollars should be enough assistance to get anyone through rough times until they can get back on their feet again.
In short I think the government shouldn't be helping businesses, but should be helping individual people. Let the corporations fail. Help the people affected get their lives back together.

