Monday, November 17, 2008

Yglesias making sense

When I start nodding in agreement with Matt Yglesias, you know things are getting crazy:
I feel like some of the commentary on the prospect of an auto industry bailout is starting to remind me of some of the stuff I fell for before we invaded Iraq. The kind of thing where someone yes, "yes this sounds like a bad idea, but if we do it like this and like that and like this then it’ll all be okay, therefore we should do it." Which is fine. But we also need to ask ourselves, if we accept the proposition of Detroit’s management, the UAW, and Michigan politicians that what’s good for General Motors is good for America, how likely is any of this stuff to happen.
While Yglesias is pondering the arguments of liberals at the New Republic, conservatives are almost unanimous in opposing the bailout. See John Hinderaker and Michelle Malkin, for example. "Libertarian populism," anyone?

UPDATE: Mark Steyn:
Detroit is "incapable of making a car at a price anyone is prepared to pay for it" - that's to say, the per-unit cost of manufacturing a vehicle at GM is more than the market will bear. See this handy pre-tax-profit-per-vehicle graph from Jim Manzi, which gets to the heart of the matter: It doesn't really matter how many cars GM sell under the present arrangements, because those arrangements are unsustainable.

Strangled by union goons.

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