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Ever since we heard about the failure of several private companies and how we have to bail them out we’ve been told that it is dire and absolutely necessary. President Bush swarmed in and told everyone if we didn’t give $700 billion to the treasury to hand out to Wall St. we would looking at the second great depression. Isn’t it interesting? Several banks, private companies, made bad investment decisions and we the tax payer have to bail them out.

The problem with this bailout is that it is going to private companies. It doesn’t matter if we get the money back, it doesn’t matter if Wall St. is going to be hurting if it doesn’t get our money. All that matters is that we are crossing a dangerous line by teaching these big wig companies that if they screw up sugar daddy government will be here to save them. When a private citizen makes an investment decision that goes sour it is their problem and their fault alone. We should not rush to save private citizens or private companies.

The bigger problem is that bailing out private companies is not only irresponsibly but it is also unconstitutional. If the the government forced everyone of us to cut a personal check for this bailout would it be over reaching and an abuse it’s power? Of course it would be, is using a credit card in our name any different? But this what the bill will allow. This bill will solely give Henry Paulson, the Secretary of Treasury, complete control over the control of the funds. It is not right for the government to be buying out private companies and it is not right for them to practically use our money to do so.

Finally, if we get into the habit of bailing out private business where will the line be drawn? A precedent will be set and you will see companies all across the board seeking bailouts. Companies that aren’t necessarily in trouble will find a way to get into financial trouble. It’s pure speculation but it sounds reasonable to say that these current companies knew the government would bail them out and allowed this to happen. They sat back and swam in their millions while their bad investment drove the company into the ground. The government steps in, pays the bills and the fat cat CEO’s continue to receive their cushy pay checks.

My promise to the people that vote for this bill is that you are going to be listed on here and you will be voted out. It’s humorous–in a sick way–that we are going to give unrestricted money to companies that couldn’t manage themselves the first time around. They made horrible investment decisions which led to their failure and the government is going to reward them by bailing them out. It’s like finding the people who invest and manage their money the worst so that you can give them all of your money. Foolish, dangerous, reckless and typical government activities.

Here is a link to the latest version of the bill (as of 9/28/08).

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