Freedom is not entirely free, at all.

Couple of months ago, I wondered what would happen if we let go of GM. Not necessarily the way we did to Lehman Brothers, but at least we should stop reassuring ourselves that “American Big GM” could remain the top leader in the industry. Hello, we can’t consider all corps TBTF (Too big to fail).

We need to come to realize what has caused the credit crisis. It does not make sense for the federal government to endlessly inject (future generations’) money into companies which have not made endeavors to restructure themselves in the competitive market, while having earned all the big bucks in good times. In a capitalist market, individuals/firms are free to pursue success, but are also responsible for whatever losses they incur.

According to the New York Times, in the near future, GM would shrink down to a size of 38,000 employees, compared to its peak of over 300,000 in the 70’s. However, GM is still facing possible¬†bankruptcy if less than 90% of bondholders agree to accept GM’s $1000-for-225-shares offer.

It would be interesting to watch what’s happening with GM. And how their Good GM/Bad GM plan would turn out.