Originally Posted by rgrovr
Airlines have been going thru managed bankruptcies since the 60s and the industry is still around in the U.S. last I checked. A non-profitable company has no right to continue to be profitable at the government's dime. That may sound cruel to you but not all businesses succeed, and those that do not give opportunity for someone else to compete (like SouthWest for e.g. in the Airline business).
Exactly ! If this happened to Detroit, then the resulting entity that came out on the other end would have less liabilities as well, thus making it less costly for the taxpayer to backstop or guarantee things if that was still necessary. (that is what Romney advocated, NOT the distorted picture Obama paints, which cleverly exploits the general public's ignorance of the managed bankruptcy process to make it sound like Romney wanted to comprehensively kill the American car industry as a whole and put all the staff out of work)
That would have freed up BILLIONS of taxpayer dollars, which could have been directed at other industries, to save even MORE jobs overall. Instead, what resulted was some folks keeping their jobs despite working for a company with an unsound business model, and others lost their jobs because their employer was not "too big to fail".