Polls Show Auto Bailout Supporters Need to Convince the Public
Reader Comments
woAaApniCJrO
Hi. Good news.
Auto Bailout
If the "Big 3" fold we will still have an auto industry. The companies will be Toyota, Honda, VW, Nissan and others that are better managed and produce better products at lower cost than Ford, GM and Chrysler. And with the demise of "Detroit" the surviving auto companies will be hiring as their market share grows.
And, not even that...
and, what about all the legacy costs, the UAW unfair charges and wages on layoff plus the unfair taxation on our domestic brands on uneven playing fields.
EAT CROW OR EAT NOTHING
For its part, the UAW could not have acted more arrogant. Union leadership wants typical Americans who earn less than $50 an hour taxed so that most UAW members give up nothing. Around the country, employees are accepting fewer hours or benefits to keep their companies going until the recession ends -- but not the UAW; it demands federally subsidized exemption from the laws of economics! The UAW talks as if it's still 1966, the Big Three has dominant market share and unlimited money, and it's just a matter of demand and management gives in. Plus low-quality assembly-line work is one of the reasons Detroit got into its present mess. Non-UAW autoworkers in Toyota and Honda plants in the United States, who earn roughly the same $50 an hour in wages and benefits, build great-quality cars that make their firms successful. The UAW won't take responsibility for its share of the Detroit decline; with UAW leadership it's always "we're victims, we're not responsible." Nobody, it seems, caused the decline of Detroit. Blame space aliens!
But where does the money come from?
It's easy to suggest bailing out these companies if you do not consider where the money comes from. Alas, if it does not come somewhere the bailout is simply a step in the road to Wiemar Republic inflation and the social ills it produced.
What is the difference between telling profligate spending automakers (thanks to the UAW) they can have some more money to spend so they can recover and telling a fat person they can have free donuts so they can get thinner?
{^_^}
MPG
automakers and big oil sleep together. they wont give us gas miledge too make big oil happy. meanwhile ask what their payin for their oil needs. the modelT got 22 mpg !!! since big oil screwed automakers by price gougein us into stop buyin suvs n big trucks - which we still like by the way - let those $10 billion a quarter profit gettin bstrds BAIL YOU OUT !!! NOT JOE TAXPAYER!!!
Agree w/ Glen but let's go further
We need to not just teach economics, but basic money management. We are willing to teach our students in depth from grade school on sex education, and yet resist teaching them how to save, budget, and actually live within their means.
Then maybe the people of this country will vote for politicians who understand conservative money management.
Auto bailout
It is not surprised, since our public education system teaches Art History but not Economics. That is not a knock on Art History, but Economics affects our lives from beginning to end. I am not here to defend the management of the Big 3, but this is not about them, it is about our overall economy. We simply cannot afford to put that many people out on the street. The multiplier effect from that would be disastrous. Yes, this does need to be communicated better to the general public. The failure of this industry would affect every community in this country.
