More Criticism for Unconstitutional Auto Bailout

Andrew Sullivan and George Will have joined Clinton Administration Labor Secretary Robert Reich, the Heritage Foundation and other commentators in concluding that the Bush Administration’s unilateral automaker bailout is unconstitutional. I earlier argued that the bailout is illegal or unconstitutional. Iain Murray explained how an automaker bailout in Britain failed miserably, since it (like Bush’s auto bailout) failed to make painful but necessary reforms needed for the auto industry to survive.

Even John McCain, who wanted the government to bail out banks by buying up all the bad loans in America, recognizes that Bush’s auto bailout will cost taxpayers “tens of billions of dollars” while failing to require reforms needed to ensure the “long-term viability” of the Detroit automakers, like cutting the $70 per hour compensation of their autoworkers.