What's the point?

"President Barack Obama refused further long-term federal bailouts for General Motors and Chrysler, saying more concessions were needed from unions, creditors and others before they could be approved."

http://www.msnbc.msn.com/id/29944834/?GT1=43001

If we're not going to fully protect suppliers and workers, and there's going to be leaner, meaner, smaller surviving entities, what's the point of an auto industry bailout? That's the result you would obtain from relying on private sector forces and general bankruptcy law, without putting billions (trillions?) of taxpayer dollars at risk. Why not just say that and step away from the disaster?

And, by the way - - under which provisions of the constitution or general law does the president have the right to "force the departure of Rick Wagoner as CEO of General Motors"?