Recently, I warned that if Congress passes the Bush Administration’s massive bailout plan for investment banks, we are likely to get more bailouts for other industries. It turns out that at least one industry – the Big Three Detroit auto manufacturers – have already gotten a bigger bailout than they would have otherwise. And that’s just a result of the mere consideration of the administration plan (combined with the earlier Fannie Mae/Freddie Mac bailout); things will be far worse if the plan passes:
With Congress preoccupied with the massive, $700 billion bailout plan for the financial industry, General Motors, Ford, and Chrysler have finally secured Part One of their own federal rescue plan. A bill set to be passed by Congress and signed by President Bush as early as this weekend