Buggy Whip Economics

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I’m opposed to our government bailing out the failing businesses which seem to increase daily.  My heart aches for those who are losing their jobs through layoffs and plant closings, but I still feel that the government should not be involved in supporting these businesses.  Government support is a myth.  What it really means is taxpayer support, and as a taxpayer I feel that I have a better use for my hard-earned money than giving it to companies who are not able to operate their businesses profitably.

Banks, automobile manufacturers….they appear to be so integral to our current lifestyle that, aside from the economic impact of letting them fail, we would be lost without their services/products.  I would guess that people felt the same way when buggies began to be replaced by automobiles.  Many of them thought it was a fad that would never catch on…..what could ever replace the horse and buggy?  And buggy whips, buggy whip sockets, hardware for making buggies - all were businesses that were doomed when buggies fell from favor.  People lost jobs, plants closed.  But the need for the buggy whip factories had passed.  The people employed in those businesses had to find new jobs, update their skills and move forward.   Imagine what could have happened back then if the government had stepped in to “save” the buggy whip business.  We might still be driving around in buggies waving our buggy whips.

Technorati Tags: buggy whip economics, bank bail out, failing businesses, government bailout, economics

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