GM's Wagoner Doesn't Understand Free Market Economies

GM CEO Rick Wagoner made his case for a federal bailout in a column in the Wall Street Journal Nov. 19. I’m still not a fan.

Here’s a brief summary of his case:

•    GM has already axed a ton of people.

•    The Chevy Malibu demonstrates that GM can make cars that people want.

•    GM is trying to re-establish its lead in advanced propulsion technology.

•    The auto industry affects a lot of people outside of Detroit and is critical to the health of the US economy

I like GM cars. I only buy GM cars. But I have no interest in engaging Mr. Wagoner in a virtual debate, point by point, because I think he misses the point of a free market economy. We don’t have debates to determine which companies survive and which companies fall. The market decides.