I don't know what the answer to the automotive industries problems is but I know for sure that the US cannot allow it to collapse.
It's easy to throw up a big middle finger to Detroit but I don't think people can even comprehend the negative ripples this would have across our entire economy.
Not only would it hurt the people who work at GM, Ford and Chrysler but also their dealerships and their employees, suppliers and their employees and all of the businesses patronized with auto industry salaries (restaurants, hair salons, grocery stores, mortgage companies, etc etc).
With all the problems we have going on right now dumping another 5 million unemployed people into the mix is not a smart move.
But I agree, you can't just hand them cash. That will just prolong the inevitable
watch them break the union
"A senior Republican on the Senate Banking Committee said Wednesday morning that U.S. automakers would be better off filing for bankruptcy and ousting its top executives.
"I don't think they have immediate plans to change their model, which is a model of failure," Sen. Richard Shelby of Alabama said Wednesday morning. "I believe their best option would be some type of Chapter 11 bankruptcy," Shelby said. "These leaders have been failures and they need to go."
GM's Rick Wagoner has repeatedly said that bankruptcy is not an option because of the far-reaching negative effect it would have on the company, workers, dealers and suppliers.
J.P. Morgan analyst Himanshu Patel said automakers would get federal aid, but it wouldn't come as soon as originally expected.
"We feel it is clearer now that the timing of any such aid is not imminent as key differences remain amongst influential power-brokers (even of the same party)," he wrote following Tuesday night's testimony. "And there does appear a general reluctance on the part of the majority of senators who spoke Tuesday night to support a bailout program that would come with few strings attached."
http://finance.yahoo.com/news/Auto-compa...
It's clear, nobody on capital hill is in favor of bailing out the big 3 any time soon because they have a failed business model.
This is really gonna drive down the economy something fierce.
It's gonna be a blue Christmas and nobody is gonna be buying expensive video cards this year, not even me.
I need a new system but I'd rather not put it on my plastic...I'm going to do it the old fashion way and save money for it.
It will be a terrible day for America if the Big 3 go under. There are so many jobs that will be lost not only in Detroit but all over the country. DuPont for example provides the auto industry with many of its plastics that are used in vehicles. They will be affected. There are many that this will trickle down and affect. Im not sure what the answer is but Ive heard alot of people blaiming all this on the workers and the UAW. You can't blame them for poor sales marketing and managment. Wonder what the CEO's and salary bonuses are at these places? Maybe they should be to blame as well.
It sure seems everything started gone down hill when we were gouged by foreign oil. Thanks Bush
i am more than mad ....how about 5.00 gasoline ..............what a joke ...now boycott everything and spend no money at all do nothing stay home and cut your bills to a miminum .....on this computer 24/7 ...fired every republican that worked for me and got dem lawyers......it will be a blue christmas ......there is a lot thats wrong and bad ......nobody doing shit!
my 401 is a 201 .....no its a 101 .....
real estate is a joke in most areas
just listen 2 big mouth gw about strong economic fundamentals.. and all we heard was stay the course , those wmd's, and mission accomplished...........are american people STUPID!.....THEY MUST BE!
it use 2 be 200 .00 to fill up my truck
watch them break the union
educate yourself on a Union and then search rubber room and see a Union in its finest form.
Union workers laid off-Sit in a windowless room and collect wages and full benefits for doing nothing. Go into this room at 8AM leave at 230PM and have to sign out to use the bathroom. (Some of these people make over $100000 a year and get full benefits!)
Cost GM over $2 BILLION a year for this program.
they will break the union , those days are over!