BBC News: Reports on the new tough conditions demanded by President Obama if General Motors and Chrysler are to get government tax payer help. I was surprised that Obama had the backbone to take on the Unions in many respects, he has been tough with GM and Chrysler, GM gets sixty days to get its act together or go bankrupt, Chrysler has less it has thirty days. The New York Times quotes the President stating the following, " That may mean using our bankruptcy code as a mechanism to help them restructure quickly and emerge stronger. " In essence Obama is taking a risk, he cant afford in political terms to allow GM to go belly up, the cost in political terms would be high, the Unions is one of the reasons that he is in the Oval Office. On the other hand the American voter has reach its limit when it comes to bailouts of different sectors of the US Economy. It would take great political courage by Obama to allow GM and Chrysler to go to the wall, the Unions who are powerful in the Democratic Party would fight the Administration all the way. This does recall Reagan's fight with the Air Traffic Controllers, an American President has to show that he is tough, that he will take action that will cost him in political terms, but shows that he will stand up for the voter.
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