“The administration’s decision to oust [GM CEO] G. Richard Wagoner Jr. sharply ratchets up its control over companies receiving government assistance in the face of criticism about a lack of accountability over billions of taxpayer dollars. The government demanded Wagoner’s departure even though it does not own a stake in the automaker. The three companies the government does control — American International Group, Freddie Mac and Fannie Mae — were required to replace their chief executives. The government has not, however, required any banks in which it took smaller stakes to replace its top executives. It did pressure Citigroup to replace several members of its board of directors. Now the president’s aggressive move against GM has left some banking executives wondering whether they are next in line.” (Washington Post, Tuesday)
Is there any turning back from this road?
FEE Timely Classic
“Can Government Deliver the Goods?” by Hugh Macaulay
