- Blog of Chris Johnson

Dear Mr Obama - A short letter on the bailouts

November 22nd 2008

Below is a short, cursory letter than probably won’t be read by anyone with power, but hopefully I am wrong.  So I woke up on the cynical side of the bed this morning…

Anyway, taking advantage of the new Change.govShare Your Vision” feature, I decided first thing this morning to fill out the form.  I’ve submitted another “vision” previously, more focused on ecology and environmental balance.  Even if the data from this form is aggregated by a Bayesian filter for easier digestion, I would be quite content (although I would love better tools for facilitating bidirectional communication with the government). I hope soon to write a few posts clarifying my viewpoints, hopefully providing insight and value in the process.

What I wrote:

Dear Mr Obama, I voted for your.  I donated to your campaign.  And I am an ardent supporter.  I could not hold back tears of joy on election day. I beg you, however, not to make the mistake of bailing out those who do not deserve to be bailed out.  The American auto industry has failed.  During the highest selling point for cars ever (2 years ago), GM was still not profitable.  Why would you want to support a failure?  It encourages inefficiency, and discourages innovation.  Same goes for banks and bad mortgages.  I live in Los Angeles, and despite the fact that my wife and I could have legitimately afforded a home, we opted not to buy a house during the madness, knowing it was a bubble.  So now I hear talk of bailing out dumb consumers; please prove me wrong.  Please do not reward irresponsible consumers and punish considerate ones by disincentivizing responsible finance. I feeling helpless with all of these bailouts going on.  I didn't vote for a bailout, and I know all of my friends and family are against it as well.  This government is all about re-empowering democracy, so why do we all feel so helpless with regard to this bailout? This recession is a market correction that is needed, and not something that should be avoided and preempted by the government. Thank you, Chris Johnson

What are your thoughts regarding the bailouts?