Prior to moving to Wyoming I lived for a couple of years near Detroit. I went to college near the city. Afterwards I did a good deal of business there as a buyer for the mortgage industry. I have developed some strong opinions about the place over the years. Like its best to live far far away from the city. I don't take any pleasure in its down fall.
This last week the city filed for bankruptcy. This came as no surprise, Detroit has been bankrupt for decades, but lenders and the dying auto industry kept some cash flow going and the city stumbled along. They can't keep doing that anymore.
Bankruptcy is the city's best option. They should have done it 20 years ago. The sooner they clean house dump the debt, and assets; the sooner they can call in the bulldozers and push the rubble into the lake St. Clair. Let's not kid ourselves about it. Bulldozing the place, literally and fugitively is exactly what needs to happen if Detroit is going to rise from the ashes.
Detroit can't be "fixed" any other way. Detroit became great in a time of low taxes, free enterprise and they made products that people wanted to buy. If Detroit wants to be great again they must unlearn the system of business as usual that they have been engaged in for the last 45 years, throw off restrictive government regulations, repressive taxes and irresponsible government programs designed to increase dependence and debt. They must allow free enterprises to succeed or fail on their own merits, with no sweetheart deals for insiders or those with the cash to lobby decision makers. Labor and management must be free to work out their own deals without forcing people into unions that don't represent the interests of either.
Come to think of it that would work in the rest of America too.
"with no sweetheart deals for insiders or those with the cash to lobby decision makers."
ReplyDeleteWhich is precisely why it won't work. This is a huge part of the system -- and as you correctly noted, the system has to change. But it won't, because the PTB don't want it to change. The same errors will be made over and over and over again, until the whole system comes tumbling down.
It's an unfortunate fact that those who don't remember history are doomed to repeat it. And it's a forgone conclusion that MPAI, so they will forget that history. QED.
True. We know what works but it won't get done because to many interests are in conflict.
ReplyDeleteToo bad the moronic Obama loving judge says that not only is bankruptcy against the rules, it would dishonor Obama.
ReplyDeleteYes, it would make him look bad, but it would also save the city. Too bad O's ego trumps the citizens.
How about that new $400mil sports arena? Hockey, I think.