Your only option is the protection of the court and the compassion of friends and family that make the effort to ease your pain. You go to food kitchens, join the roles of welfare and apply for unemployment. Your pride is laid bare to the world. Now assume the situation is a worse case. Your house is sold and any equity is used to pay off debts, you sell all your family possessions, jewelry and keepsakes. Forget the kids going to college or the retirement fund, thats gone as well. You're essentially left with nothing, except the clothes on your back. But even at this low point in your life, there is someone or some entity there to help you. A church, a family services organization, at least something that can help you to make a new start.
But what if you are a company or organization. You don’t have the obligation of the family, or for that matter, any family at all immediate and extended. So what happens when a company gets to the same point in its existence? Well, one major point of difference between us and an organizational entity is a soul, a conscience, a basis for emotions or feelings. Without that, a company does not have the survival instinct inherent in the human pysche. If it falls to bankruptcy, its demise is just the normal order of business. It effectively ends, it dies. The assets of the company are sold off to others and the entity that was there is no longer.
Today we are considering the bailout of the big three auto makers. I say WE because its the American people that have to pay the money. We are that person being ask to help that neighbor. But before we can help its important to ask ourselves a very personal question, ‘do we have the financial wherewithal to provide help without ourselves becoming bankrupt?’ This is a question that the people of America need to sit down and consider deeply. The reason why is the fact that we as a Nation, are similarly disposed.
The Washington Times is reporting a story where the White House Budget Office has released a report on the financial health of US, and I mean us, not U.S. We collectively are the U.S. We exist as a hybrid entity. The government is a soulless construct save for the conscience afforded it be the hearts of it people. We can have a common desire and speak as one body, such is our want to do when there is a natural disaster . But the government itself is devoid of emotions and an extended family, a parental entity that cares for our continued existence. That my friends is something of which we should fear.
Why? Because American is bankrupt. The report shows that our debts are outpacing our income and with the current expenditure of the bailouts not being included in the current report, our situation is all the graver. The report said that our debt obligation is $56.4 trillion, while the collective net worth of the public is $56.5 trillion. When the bailouts are included, we have a negative balance sheet. We are broke. As the example at the beginning of this blog shows, we should be worried. We do not have time to consider the ramification of a Big 3 bailout/bankruptcy when we ourselves face and even more dire situation.
So what is to become of a country when it needs the protection of a bankruptcy court? Unfortunately, there is no established court to preside over the division of assets. Even more worrisome, the bankruptcy court for countries is usually at the point of a gun barrel. And not necessarily at the hands of its people, but by the creditors demanding their due. Having hundreds of thousands of people laid off because of the ineptitude of the Big 3 is nothing compared to the destruction at the hands of our government mismanagement. We as Americans need to decide what we do next. We are near that point where our shirt will be all we have left. The tipping point is about to be reached. We hear Change is coming to Washington, but for once, we need to seriously consider the change we get.
Democrats relish the opportunity to bash the Bush administration for the collapse of our economy. This argument is less than ingenuous. Our current situation started not long after America became an operational entity, but certainly has suffered the most going back to the Wilson administration and moving forward to today. We need to concentrate on the future and not the past. The past is done and cannot be changed. So remember this point; John Keynes, Karl Marx, Benito Mussolini, and Bernard Shaw's theories have been proven wrong. Ludwig Von Mises, Adam Smith and Thomas Jefferson have all foretold our predicament correctly. Maybe we should listen to what they have to say.
In response to: Obama: 'Running Out Of Traditional Ammo' To Fight Recession