Saturday, November 08, 2008

Neil Cavuto on More Bailouts

Neil Cavuto's Common Sense commentary on Fox News yesterday was brilliant.

So it looks like the auto giants are going to get another bailout. They say they desperately need another bailout. Nancy Pelosi says they deserve another bailout.

GM just lost two and a half billion dollars. The others aren't looking much better. Which is why they're so bitter and why they're in Washington looking to barter: "You give us the dough, or more jobs will go." So it looks like we're going to give them more dough.

What amazes me is that we're giving it without a lot more conditions. In fact, darn near no conditions, which to me is weird. You would think if you're giving a group that much money, you would at least politely ask them how they're going to spend it.

Here is what I would do: "OK. We will bail you out, but here's what you have to do: Resign. Each and every one of you chief executives will have to resign. Obviously you screwed up, built too much of the wrong cars people didn't want and too few of the real cars people did want. So here's what we don't want: You! Submit your resignations now, and understand that you're not entitled to any bonuses or golden parachutes on the way out. Just a swift kick-butt in the ass. Now sign here."

I wonder what would happen. I wonder if they would still seek that bailout. I wonder if any begging industry's CEO would seek a bailout if they knew they'd have to resign. Maybe we wouldn't see so many hats in so many hands. Maybe we wouldn't see any hat in any hand.

Or maybe we'd be pleasantly surprised that for the good of their company they'd leave the company.

Bailouts are dangers, my friends, not only because they absolve companies of their responsibilities, but the very CEOs responsible for the mess from claiming any responsibility.

So, if we're to go this maddening route, try this mad idea. Anyone can come to Washington begging to save jobs as long as they understand the first one they lose in the process--the very first--is their own.


I like it. Let's call Congress and get this started.

3 comments:

Tsofah said...

Skye:

My hubby and I really enjoyed Cavuto's show yesterday as well. I think Cavuto has really good insight and ideas!

CG said...

These greedy CEO's don't even feel any sense of responsibility to their stockholders. If they did they would not be robbing their own companies blind and driving them into the ground while making sure they get their million dollar bonuses. I would go a step farther than you -- somebody should pay for robbing their own stockholders, who they had a responsibility to, by going to jail.

SkyePuppy said...

CG,

I like your idea even better than Cavuto's!