Weak arguments

Of course, the fundamental flaw with this argument - aside that it was written by Newt Gingrich - is that it ignores the product and/or service produced by the private sector competitor. By using the Ford vs. GM model, it assumes that the latter will succeed based on more advantageous debt scenarios. It completely discounts, however, the fact that Ford is producing a better product that has achieved a fierce brand loyalty.

If Ford sells more of its product, then the company will succeed.

Likewise, in the health care debate, if private sector insurers adapt to a new playing field which includes a competitive public sector plan, then the types of coverage offered will be better across the board regardless of the advantages of financing structure.