Bailout Big 3?

I'm curious what my readers think of bailing out the Big 3. Part of me thinks that one of them needs to fail, so we should just let it happen. Its probably going to happen sooner or later anyways. That's what recessions are for really: replacing companies that cannot compete with more efficient ones.

And part of me thinks that the worst possible thing that could happen in what already looks like a recession is to put a couple hundred thousand more people out of work.

What do you guys think?

First Bad Recession in our Adult Lives

It appears we are heading into a bad recession, the first one I have ever encountered in my adult life. While I tend to think I'm in a pretty safe job, I also thought that the last time I was laid off way back in during the start of the 2001 recession. Is anyone else worried?

One of the things that always interests me is the response companies have to a recession. Almost uniformly, they will cut jobs. But that actually just makes the recession worst because it lowers demand (if you're out of work, you stop buying stuff). That in turn forces more people out of work, which forms this sort of vicious cycle of layoffs and drops in demand.

I don't know what the right answer is, but I hope our new government has some interesting tricks up their sleeves.