A couple more banks took the big flush this week. Not making the regular financial channels I'm guessing info is now being let out after the markets close on Friday in hopes nobody will notice and forget about it before the Monday open. The banks were Downey Financial and PFF Savings and Loan. Then there's the issue of Citibank. At 3.77 a share it's looking a lot like Washington Mutual did right before it gave up the ghost. Should we bail out Citi? I say hell no. If you or I ran a business and it went bankrupt we wouldn't expect the government to bail us out. The assets would be sold and the liabilities paid and the business shut.
I have an idea. Why not take the money for bail outs and just set up a government owned bank. With a fresh start and more regulations we could pick up a bunch of laid off bank people and put them back to work. That would be excluding the idiots at the executive level who should have been fired years ago.
In other news just as I predicted Boeing will be laying off workers. With no contract on the Air Force tanker deal Boeing will be laying off people in Kansas, Pennsylvania, and California. Washington state is okay for the moment but as the economy sinks I'm sure the airlines will be putting a hold on their orders. We're beginning to see competition among airlines as business is falling off even though fuel prices are falling.
As for the auto industry I say we keep the workers and lay off the executives. I say we give a billion or two of that bail out money to companies like Tesla that are trying to make the new technology cars. There's a lot of great ideas out there but without the capital or production facilities they can't get off the ground. The "innovative" cars that GM and some of the others have come up with are overpriced garbage. I've looked at the tech specs on them and wouldn't give you two cents for one.