In a new column, Reason Foundation's Anthony Randazzo says taxpayer money won't save dying Detroit:
Should we bailout the car companies? That's the multi-billion dollar question Congress is debating this week. Sales are down, the economy is slow, and the credit crunch is killing auto industry. Detroit's "Big Three" automakers have asked for $50 billion federal dollars to cover their costs and increase their liquidity-and this after receiving $25 billion in September to help them meet new Corporate Average Fuel Economy (CAFĂ‰) standards.
Even though it will cost a lot jobs in the short-term, Congress should not extend this lifeline. The best hope for the long-term future of Detroit and the American auto industry would be to use Chapter 11 bankruptcy to restructure the car companies, emerging as vibrant and competitive as ever.
Read the whole thing here.