Bailing out the Big 3

It’s looking more and more like the ailing auto industry is going to get its bailout – or at least some version of one.

Word coming out of D.C. is that a deal could be in place as early as Wednesday to help the staggering auto industry to the tune of $15 billion and place it under the auspices of a federal “car czar.”

No word yet on any similar plan for the newspaper industry. In case you haven’t heard, we’re in bad shape ourselves. Yesterday the Tribune Co., which publishes the L.A. Times and Chicago Tribune, in addition to the Allentown Morning Call in this region, filed for bankruptcy.

There are a lot of people who question the merits of Uncle Sam constantly riding to the rescue of failing industry. Some go so far as to say we should let the auto industry fail. Let them file for Chapter 11 bankruptcy just like any other struggling endeavor.

They might want to consider this. A study released yesterday by the Economic Policy Institute indicated Pennsylvania would lose 120,000 jobs if the Big Three automakers fail. Add to that total another 65,000 jobs in New Jersey.

That’s the thing about the auto industry and America’s love affair with the car. Its tentacles find their way into just about every aspect of our economy.

Congress likely is going to have to hold their nose and vote for this package.

Then maybe they can get to work on the newspaper industry.

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