The administration is apparently resisting a loan to US auto companies.  Nearly 6 million people work for auto companies and related industries (mechanics, sales people, tire shops, etc).  I think that's about 2% of America's workforce.  $700 billion dollars have been approved, and so far it seems to me that it's gone to companies that just made bad decisions.

Meanwhile, Ford, GM, and Chrysler have all been making smaller cars and better engine management systems to increase the fuel efficiency of their rides, as well as working on innovative hybrid technologies.  Sure sure I know hemis aren't expected to be fuel sippers,  but their mileage has nearly doubled with with smarter technology, and stopping production on a newer motor can't be good for profitability.  Ford has even developed some really cool hydraulic hybrid technology in it's f150 pickup, though it's been slow to release.  Should they have started with more hybrid tech years ago? Easy to say so now with hindsight in our favor.

At any rate, I can't see that a loan to auto companies is LESS productive and benificial to our economy than to AIG, and it seems that it would be a WHOLE lot more likely to payoff.  After all, every economic slump I can think of was bailed out not by the government, but by manufacturing, which we used to be good at.