"Last week, at the official British Treasury auction, investors failed to buy the full complement of so-called “gilt-edged” 40-year bonds. Two such auctions have already failed in Germany. The U.S. Treasury, facing similar investor reluctance to snap up $34 billion of five-year notes, was forced to increase the interest it will pay on them"
If we don't, and we won't, close the water tight money doors on GM/Chrysler, the ship is going to sink. No one will buy promises from weak borrowers who do not have the guts to do what needs to be done. That's why GM couldn't not fined one, single loan in the entire world. Not one. Zero Zip. So too now the UK, Germany, and coming the US.
How many times did Germany rebuild it's industrial Ruhr? Three? And you are crying, mewing about Michigan? Pathetic. A historical. Economically ignorant and financially not going to happen, because if it does, and all the others start doing the bailout boogie, this entire worlds economy will go down, because no one will trust the paper these lying, lazy, lawyer, Harvard, Yale political pukes print dead president on. And then, no one will buy cars, no one will build cars, because the one thing that glues us together, and lubricates everything everything at the same time, is paper money, and it will be worthless. We already have had real, hard, no fooling around shots across the bow in the bond markets, gold markets, Chinese Treasury.
I don’t disagree with the main points you raise. I state what it obvious to me. The arm may be already dad from gangrene. The flank outpost might be over run.
None of that matters to the marxists in power. Michigan must not be allowed to go under because GM failed. They will not let that happen.
Reason and logic and history don’t matter to them.