Detroit was always going to get something. It’s never been a serious question. Only how much on what terms.
A transition bridge loan for the political transition appropriately is lowest common denominator thinking from exhausted and discredited political and economic elites. Whether even this truncated gesture actually serves a viable purpose beyond symbolism is material for rubes and cranks.
We are now given a new Commissariat for Heavy Industry (called here the Oversight Board consisting of cabinet secretaries) to oversee the top to bottom industrial planning in the auto industry (calling alleged ‘favorite’ Ken Feinberg’ — Кен Феинберг — a ‘czar’ shows pure historical illiteracy). It is still amusing to see the Duma and talking heads to posture and preen demanding ‘tough conditions’, wage concessions, ‘punishment’ for incompetent management, etc. All irrelevant to the financial/Wall Street boondoggle beneficiaries of outright gifts — not loans. Hell, the U.S. Treasury, just like Paul Bremmer in Iraq, can’t even account for billions of dollars they presume they dispersed, they’re just not sure to whom or when. Today it is the automobile industry but one can already see other industrial sectors learning lessons and preparing their dog and pony shows for 2009.
Then let’s not forget what’s looming — the Boy King’s infrastructure plan coming in at around $500 billion (more likely a trillion) and the Duma’s separate $500 billion stimulus. Oh. And Gregory takes over Press the Meat. OK, not so much. But the bars will be open 24 hours. You got to take em when you get em.