Government assistance in the form of loan guarantees worked for Chrysler back in the day, I thought Lee Iaccoca did a great job in improving Chrysler's business model. In that case I think we can say that gov't assistance was a good thing. No reason why that sort of thing can't happen again.
You're right about beaurocracy though, that we don't need. But there should be a way of doing it right. Anyways, we shall see.
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