Detroit-The Next Bailout?
That in turn means that both candidates will be highly reluctant to reject ideas popular among those swing voters. And with the precedent set by the government bailout of various financial institutions such as Bear Stearns, Fannie Mae and Freddie Mac, this means a risk that Detroit car makers will seize this opportunity to demand a bailout, as Paul Ingrassa points out in Wall Street Journal. Why should only super rich Wall Street traders driving Maseratis and drinking champagne (preferably not at the same time) get bailed out while middle class Detroit auto workers driving Chevrolets and drinking beer (again preferably not at the same time) receive no help, many will ask. As Ingrassa notes, not only Obama, but recently even McCain have expressed sympathy for such a proposal, so there is a significant risk that it might happen, though probably not in the exact same form as the Wall Street bailouts.