Detroit can't sell cars. Perhaps it is because they are too expensive. Perhaps buyers can't get credit. Or, maybe autos made in Japan and Germany are simply better-built.
No matter. The Big Three are now looking at a program to stimulate car sales sponsored by the US government.
According to The Wall Street Journal, "On Monday, Sen. Charles Schumer (D., N.Y.) plans to send a letter urging the Federal Reserve to make financing available for the auto companies' lending arms, which would allow them to offer more auto loans."
Will that help? If the loans are attractive enough, certainly. They may have to be better than zero percent financing. The car companies have tried that. Perhaps the government can make the first year of payments for car buyers and leave the consumers to pay the last two years. That would be as good as 33% off the purchase price.
Why stop there? Home builders want a bailout. The government could make a 20% down payment for people who would like to buy a new house. That would leave a mortgage on 80% of the home. The government could make the balance of the mortgage interest free.
Every industry in America is going to make a grab at bailout funds. The Treasury will have to hire thousands of analysts just to sift through them
Douglas A. McIntyre is an editor at 24/7 Wall St.
Why is gold making a new high, trading at $1,118.00 per ounce?
Chasing Value: Ten stocks for 2010 -- Part 1 
Closing Bell: A six-day rally (AIG, REGN, M, MOT, PALM, RIMM)
