
I am taking a 180 degree turn, in order to present an editorial that I wrote. This issue is very important to me, so if you agree with the following, pick up your phone and call your
senators and
congressmen and ask them to give GM, Ford and Chrysler the loans they are seeking. If you disagree, drop me a line so I can gain a greater understanding of the opposing view.
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Many people in the United States are unaware of the reality faced by tens of thousands of Michigan families. If the domestic auto industry is allowed to fail, the result may resemble dropping an atom bomb. Michigan could see an area that currently houses five million people become a ghost town, then the poison will spread to the rest of the country like atomic fallout. Every state will be negatively affected, but even so, the American public has little sympathy for our auto industry these days.
“The cars coming out of Detroit are crap, they cost too much, and there are no hybrids available.”
According to
Consumers Report, the best 3 cars for under $25,000.00 are the Chevy Malibu, the Ford Focus SES and the Ford Fusion. Ford and Chrysler are applauded for their quality that now meets or exceeds foreign competition, and GM’s approval rating is much improved. As for hybrids, there are plenty: the Chevy Tahoe, Volt and Malibu, Saturn Aura, Ford Escape, and the Cadillac Escalade, to name a few.
“Those overpaid union workers make too much money.”
How much is too much money to pay an honest, loyal worker? My brother-in-law retired after 38 years as a parts-puller for GM, with his base pay before taxes not quite 56K per year. Yes, this is a decent amount to live on. However, I wouldn’t say he and his family are rolling in dough, not to mention that his body now suffers permanent damage from all those years of repetitive motion.
“The companies deserve to fail because of all the mismanagement.”
As brought out in today’s congressional hearings, it is difficult for the Big Three to compete with the foreign manufacturers when state governments subsidize the competition in favor of the domestic auto companies. Alabama, for instance, granted over a billion dollars in tax breaks to lure the transplant car companies and suppliers. Import companies are based in countries that have nationalized health care, so those companies don’t carry the burden of providing health benefits for the non-US workers. Most US based employees of the foreign owned entities are not at the age of retirement, therefore retirement benefits currently are not an issue. Ironically, the foreign automakers are currently experiencing loss of sales of a similar rate as Ford, GM and Chrysler, despite those savings. Why is that? The answer is simple: the bailed out banking industry is holding on to their money instead of giving out auto loans.
Incidentally, that is precisely what the automakers are requesting; a LOAN, to be repaid with interest. This is a bit different than the bailout requested by and granted to certain titans of the banking industry. (I’m still wondering why the government bailed out some of the banks while others were allowed to fail, but that is a subject for another post.)
God bless America! Interestingly, although the government’s big catch word is “patriotism,” we are selling off our country in bits and pieces. Soon there will be no “America” left for us to be patriotic about. We become beholden to foreign countries in yet another industry if we no longer own our automobile manufacturers. The nation is emphasizing that American car companies need to create “greener” cars to end our dependence on foreign oil. It makes no sense for this country to trade one dependency for another.
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*As a postscript, I received the following today (12/13/2008) from somebody who works for a Crysler Dealership in Michigan. They received it along with their paycheck, and they are hoping it isn't their last paycheck.(Click the image to enlarge.)