The bailout of GM and other companies...

As the demands for bailouts to the left and right increase I have a few observations:

1. If money is to be injected from the government it should be used to buy stakes in the companies, much like the Swedish government bought parts of the banks in the crises of 1991-1993. After the crises is over the company (or the market) gets to buy back the stock and hopefully the taxpayers make some money.

2. One other possibility is to also split up the company in smaller units and thus spread the risk. GM could perhaps be split up in European, American, and Asian operations.

In principle though, I am against using tax payers money to help businesses that are failing. Nobody helps the mom and pop shop on the corner if they go belly up, but GM should get a handout just because they are so big and affect "so many people if they collapse". Well, I am sorry but GM and Ford has had their chance for years. Maybe we should just shut them down and pay peoples wages for a few years while they find new jobs...