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February 10, 2012
Lisa M. Krieger: Man with defibrillator demands access to his own heart's information
David G. Savage: Why activists may not be in a hurry to have High Court rule on alternative marriage
February 9, 2012
Laura McMullen: 10 Least Expensive Public Schools for Out-of-State Students
Kimberly Palmer: How to actually enjoy -- relaxing, financially -- your vacation
February 8, 2012
Warren Richey: Why momentous Prop. 8 ruling might not satisfy gay-rights groups
Menachem Wecker: Though Controversial, LL.M.'s Can Lead to Specialized Legal Jobs
The Kosher Gourmet byDana Velden: Going to the bother of making soup? You know it better be good. This CREAM OF TOMATO SOUP certainly is! And it's a cinch to make, too (Includes techinques and serving secrets)
February 7, 2012
Frank J. Gaffney, Jr.: Caught off-guard? President's Super Bowl interview with Matt Lauer gives those who need a reason not to vote for him, a darn good one
Suzanne Bohan: Leaping lizards! Tiny reptiles advancing robot design
February 6, 2012
Jonathan Tobin: Iran Threatens Israel With Destruction, But the New York Times Doesn't Hear It
Jeffrey Fleishman: In newly democratic Egypt, tens of democracy activists jailed, to stand trial; their groups are 'threatening the stability of the homeland'
Julie Deardorff : Researchers say antioxidants may not be that effective and could do more harm than good
Mark Clayton: How did Anonymous hackers eavesdrop on FBI and Scotland Yard?
February 3, 2012
Edmund Sanders : Israeli official says Iran is creating missile that could reach East Coast of US
Victoria Kim: Immigrant-smuggling ring used black drivers to avoid racial profiling
February 2, 2012
Jim Carney: Wrong number call may have saved her life
Reza Kahlili : Ex-CIA spy in Iran's Revolutionary Guard: What Obama doesn't grasp about striking deals with Tehran
Tina Susman: For woodchuck rescuer, every day is Groundhog Day
February 1, 2012
Brian Bennett: US officials see increasing threat of domestic attack from Iran
Emily Brandon: How to Take Advantage of New 401(k) Fee Disclosures
January 31, 2012
January 30, 2012
Paul Richter and Ramin Mostaghim: Misreading Teheran's limits -- deadly and economically devastating as they may be -- is a risk administration, Europe seem willing to take
Suzanne Bohan: Warning: Nap-deprived tots missing more than sleep, study finds
Meg Handley: Banks Revamping Rewards Programs to Woo Customers
January 27, 2012
Caroline B. Glick: Obama: Of course I intend to prevent a nuclear holocaust . . . in a few months
Yochonon Donn: In liberal New York City, fervently-Orthodox Jews may soon be getting a district to call their own
Jeannine Stein: An inflated ego and thinking you're 'all that' doesn't just make others sick of you, it can make you ill
Katy Hopkins: New budget rules may affect how much money you get for college
January 26, 2012
Ed Koch: To the New York Times, calling for the murder of Jews by those capable of having their incitement taken seriously isn't news
Jeannine Stein: Mental illness struck one in five U.S. adults in 2010: Report
January 25, 2012
Richard Simon: House passes two bills endorsing the use of religious symbols at military memorials
Fred Weir: Putin: Multiethnic Russia cannot survive as a US-style 'melting pot'; must find its own way
Susan Johnston: 5 Sneaky Coupon Strategies Consumers Should Watch Out For
January 24, 2012
Carol Clark: The price of your soul: How your brain decides whether to 'sell out'
Caroline B. Glick: America lost most in 'Arab Spring'. Sadly, many voters still don't grasp the extent
Warren Richey: Drug criminal scores win in GPS ruling from conservative-leaning high court
Erika Bolstad: Black conservatives gather to talk about gaining strength
January 23, 2012
Melissa Dribben: Jewish voters to play a key role in Florida's Republican primary
Jordan Rau: In quest to grow, Catholic hospital system will announce this morning its break from church
Ali Safi: U.S. envoy gives Taliban terms for peace talks
January 19, 2012
January 18, 2012
January 17, 2012
Frank J. Gaffney Jr.: No-kidding red lines: U.S. response to an Iranian nuke may be bluster, but Israel's won't be
David G. Savage: They sued their principals after slandering them online --- now the cases are headed to the Supreme Court
David Francis: Where to Invest in 2012: With stocks expected to rebound, opportunity abounds for investors
January 13, 2012
Ben Lynfield: Israeli lawmakers move to annex Jewish Judea, one museum at a time
Alexia Elejalde-Ruiz: Thriving through touch: Gentle massage helps older people with low mobility improve in mind and body
January 12, 2012
Warren Richey: Landmark Supreme Court ruling a 'resounding win' for religious groups
Warren Richey: Supreme Court says no to new rule on eyewitness testimony
John Fauber : Statins found to raise diabetes risk in postmenopausal women
Katy Hopkins : Consider This Before You Pay for an Online Degree
The Kosher Gourmet by Joseph Erdos: This mushroom and barley soup has an intense -- almost nutty -- flavor that mixes robust with Middle East. It has creaminess without cream
January 11, 2012
Shari Roan: Millions of atrial fibrillation sufferers at risk for devastating, but preventable, stroke
Tom Hussain: Pakistan -- recipient of more than $21 billion in civilian and military aid -- speeds pursuit of Iranian pipeline, defying US
David G. Savage: High court signals it won't be loosening TV's 'indecency' rules
Stephen Ceasar: Oklahoma's Islamic law amendment can't go into effect, court rules
January 10, 2012
Reza Kahlili: From an ex-CIA spy: US must exploit new split in Iran's Revolutionary Guard
Karen Kaplan: Study: Nicotine replacement products ineffective when used in real-life situations
January 9, 2012
Michael Doyle: Put through legal hell over dream home, couple fought back hard --- all the way to Supreme Court
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Jewish World Review
April 1, 2009
/ 7 Nissan 5769
A failing firm may fail. Imagine that
By
Roger Simon
http://www.JewishWorldReview.com |
In a startling departure, the Obama administration has decided that the price of failure in America should be failure.
While this principle has always applied to ordinary Americans, it did not apply to corporate America, where the price of failure has been bonuses and bailouts. Now, President Barack Obama has introduced something else: the boot.
Obama fired Rick Wagoner, the CEO of General Motors, on Friday simply because Wagoner was doing a terrible job and had run GM into the ground.
Wall Street was aghast.
On Monday, in a calm and forceful statement, Obama made clear his reasons. "Our auto industry," he said, "is not moving fast enough to succeed." In exchange for the billions in taxpayer funds some carmakers have already received and the billions more they want, President Obama is demanding "a better business plan."
The stock market plunged. Over the past couple of weeks, after the administration announced the injection of about $2 trillion in what was essentially free money into Wall Street, the market soared.
But now Obama is changing the rules! He is showing a different kind of audacity! He wants companies that get taxpayer dollars to perform as if they operated in the real world and not the Land of Oz.
In the real world, if you build a better car, people will buy it — and if you don't, they won't.
That has never been the operating principle in Detroit, where automakers made clunkers and the Japanese cleaned their clocks.
Wagoner is the guy who axed GM's electric car program and decided SUVs would carry GM into the future. He has been the CEO since 2000, and GM has not shown a profit since 2004.
GM's stock was $70 a share when Wagoner took over and closed at $3.62 per share on Friday. But Michigan Gov. Jennifer Granholm, a Democrat, said Monday on NBC's "Today" show that Wagoner was a "sacrificial lamb."
To me, it looks like the stockholders were the lambs. The lambs led to slaughter.
I feel bad for anybody who gets fired these days, and so I feel bad for Wagoner, though I suspect his golden parachute is large enough to land the space shuttle. His pension is reportedly bankruptcy-proof, and even though he agreed to accept a salary of $1 per year in 2009, he made $5.4 million in 2008 (the same year GM lost $30.9 billion) and $14.1 million in 2007.
And, of course, he had the obligatory private jet, though there is an upside and downside to having a private jet. The upside: You have a private jet. The downside: no frequent-flier miles.
Chrysler is also in big trouble, but Obama has given it 30 days to partner up with Fiat before he pulls the plug. Obama did not fire the head of Chrysler, apparently feeling that, unlike Wagoner, the head of Chrysler was not a complete doofus.
The problems of the auto industry are said to be complex: bloated union contracts, convoluted supplier agreements and a complicated dealership system.
But anybody who has bought a car over the past few decades knows the problem is really simple: Detroit needs to build cars that taxpayers actually want to buy instead of cars that taxpayers are forced to subsidize.
Do you know when Detroit will turn the corner? I do.
Detroit will turn the corner when you go to the rental car desk and the person behind the counter offers you a Toyota or a Buick, and you pick the Buick.
Wake me when that happens.
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© 2009, Creators Syndicate
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