What if we let them FAIL?

   What would have happened if we let the auto industry or the housing market fail on its own and not interfered? Would we be better off or worse? What would have been the effects of both? Would we be in the economic mess we are in now? Would we still have a National Debt of 16 trillion dollars? Let's see....

If we had not given the american's taxpayer money to the sum of 60,300,000,000 (that's 60 billion dollars)just to the auto companies owned by General Motors where would we be? Well if GM had gone under on their own maybe Ford would have stepped up to the plate, or Nissan (who has multiple production plants in the states and employs Americans), or maybe GM would have done an audit and restructured to save money in vital areas, Maybe they would have rethought their whole business strategy. If nothing else the company could have failed and other competing auto makers who did not have the financially neglectful policies could have bought them up and restructured them for themselves, Capitalism at its core. If they had not given away our money to these failing companies we could have been 60 billion dollars closer to paying down our national debt. There is some debate that if we had let them fail the unemployment numbers in the manufacturing sector would go up and that the importation of cars from foreign countries would cost us an estimated 25 Billion. To this end I will say that yes the unemployment would have gone up, short term, those qualified individuals could have taken jobs at any other manufacturer in the states, remember just because its a foreign car that doesn't mean it isn't built here, Toyota, Nissan, Mitsubishi, BMW, Isuzu, Subaru, Kia, Honda and Hyundai all have plants across the U.S. In the case of the amount of autos imported, the free market system should be approached here in that we have friendly trade agreements with these countries and that we need to honor the fact that if their product is in demand they have the privilege to sell their products here, just as we do in their countries.


 Now that is just the auto industry we also bailed out the banking and home loan lending industries too, that little stunt set us back a little under 540 BILLION Dollars. To date a little over 340 billion has been paid back, but that still leaves 170 billion added debt to the American citizen. Do you realize what we could have done with that money, we could have designed, engineered, built and flown a manned spacecraft to Mars and back. The way that this money was appropriated was that the government created Fannie Mae and Freddie Mac got the largest portion of the funds, they however are also the ones who have returned the least amount. Check this link to see where your hard earned money went.http://projects.propublica.org/bailout/list
Now what would have happened if all these big banks had failed, yes people would have lost their savings, yes people would have lost their homes, and for that I do not wish on anyone. But I also think it is important to learn from your mistakes and try to move on from there.

Do I think the bailouts worked, hell no not one bit. I truly believe that if a company or business is to succeed or fail that it must do so free from intervention.With intervention comes dependency, we couldn't afford the first stint in  rehab we damn sure cant afford another one. If the big banks failed as it appears they would have would that not also give the smaller private ie. not central bank owned, banks the opportunity to build bigger businesses and to succeed where the others had failed. Does it not make sense that if one person or business couldn't make it work that another person or business should have a chance at it. If these are to be the policies of our central bank we will be in the Weimar Republic downturn by the time I am ready to retire ( who am I kidding I'm ready to retire now), this will not be a gradual decline into depression, it will be abrupt and harsh for most Americans who are materialistic and have no skill at manual labor or ingenuity.

What can we do about it at this point? Well really nothing but demand a return on our money. It was stolen from us and appropriated to businesses and departments of federal government that WE did not authorize. We are going to return to the great depression again but I fear with greater consequences. A country who sees us in  financial trouble would also know that we wouldn't have the monetary resources to defend ourselves from enemy invasion.

I truly believe that if we would not have bailed out these bad investments, to put it mildly, and if our leaders chose not to fund every country in the world for one full year we could return to a zero dollar national debt, increase stateside production levels, reduce unemployment to the lowest number seen in a hundred years, and bring a Patriotic pride back to the Americas of our Founding Fathers. This must be done or else the inflated empire of America will fall and never be able to be restored.