Friday, December 5, 2008

This is Class Warfare?

I had a text conversation about Citibank and the Auto industry and it went something like this

Me: Do u agree w/ what they're doing for citi?
Him: I'm not sure .. it is one of the three major banks nationwide and they're international so I guess if they let them fail it would do more harm than good.
Him: They also said they wanted to regain the confidence of investors.
Me: Do u think it's a slap in the face of the car companies? They're international too.
Me: Lol that's a joke ...
Him: Practically speaking.
Him: Two different industries ... lol u think it's funny
Me: I'd be mad if I were the auto execs I mean everybody is seeing the gov't as one big free for all for ppl that don't deserve it.
Me: Citi was reckless enough to gamble themselves into this situation, car companies, same thing. Who is more important?
Me: Everybody getting bailed out what's to stop me as a tax payer that lives in a house I can affored and pays my mortgage on time to just stop paying it?

Conversation ended

My bottom line is this: $1 trillion for the financial industry pales in comparison to $36 billion for the auto industry. I did not believe in the bailout, on top of that the banks are not lending or spending the money that they have gotten, so the markets are still frozen.

What I think is odd is that even after an initial injection, Citi needed more money, the execs made telephone calls from the comfort of their Manhattan headquarters and got the financial assurances that they requested.

Compare this to the dog and pony show that Congress is making the car company executives put on to effectively turn them down for the loan.

I have just one question, what is the amount of contracts that the government has entered into with the big three for SUVs?

... Some CNN coverage

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