Saturday, November 15

Paulson is a Banking Pawn

So AIG and Goldman Sachs get a free bailout while Paulson is skeptical about the auto industry. That's because Paulson comes from the financial world. We should have seen this a long time ago.

Treasury Secretary Henry Paulson on Wednesday called the auto makers critical to the U.S. economy. But he said any financial aid for GM, Ford Motor Co. and Chrysler LLC must be used for an aggressive restructuring of the money-losing, unionized manufacturers. "Any solution has got to be leading to long-term viability" for those companies, he said.

Mr. Paulson ruled out using money from the $700 billion Wall Street rescue fund to help the auto makers, saying the intent of that measure, known as the Troubled Asset Relief Program, or TARP, is to deal with financial institutions.