The Hard Line

Bailout

Free Exchange helpfully summarizes the auto news:

Barack Obama has reportedly determined that a negotiated bankruptcy is the best option for General Motors and Chrysler. Chrysler could face liquidation if its deal with Fiat isn't realised, while GM's bankruptcy would be "quick and surgical" and designed to return the company to profitable operation. While GM still has 60 days to submit a more aggressive restructuring plan, leaders in Washington are beginning to call bankruptcy an inevitability.

Henry Blodget wants to know why Wall St. isn't getting the same treatment:

Why does the Obama administration refuse to hand the bill for our banking catastrophe to the folks who deserve it--bank bondholders and shareholders?  Why do taxpayers have to pay that bill, while we're spared most of the pain in Detroit?

And James Surowiecki counters.

(Photo: the approach to the Holland Tunnel this morning - from a reader.)