Posted by: dinainsuburbia | November 19, 2008

The Auto Bailout

I’ve been TRYING not to blog about the possibility of a bailout for the big 3 automakers.  Last night, I took a break from blogging to write to my representation in Washington: Representative Peter King, Senator Clinton, and Senator Schumer BEGGING them to think about business before party loyalty. 

I am having an internal battle.  One one hand, I’m a Democrat AND a decent human being!  I don’t want to see people lose jobs.  Heck, I know how it feels!  On the other hand, I have an MBA (no, this doesn’t make me super understanding of everything going on) and have done LOTS of case study analysis on the American auto industry when they needed help back in the 70s.  So you see, not much has changed. 

But the question is- why can foreign car companies like Toyota and Honda compete and sell cars, even those cars made in American with American labor and the big three cannot?  I think a lot of it has to do with unions.  I think unions, as they stand now, are just as broken as the big 3 auto makers business model.  It’s unwise to throw good American dollars so people can keep their pensions.  Heck- lets face it- hardly ANYONE has pensions anymore. 

I’ve done some searching around and found a couple of great articles/blogs about why the big three should be allowed to have a controlled bankruptcy:

Becker Posner Blog

Campbell Brown

Mitt Romney (I swear this is actually a good one)

I think EVERY American needs to read up on this and DEMAND that their representatives act with prudence instead of throwing good money after bad!

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Responses

  1. Girl – I have been racking my brains over this as well. I fail to see what good it will do to the big 3. Look at what they’ve done with the money for green technology – NOTHING. There is no guarantee that a bailout will have them change their ways. Like you, I am a Democrat with an MBA, so if we are both in a quandry about the bailout, there are certainly others who are. You’ve got a point about writing our reps in DC. I’ll do the same. Dynee

  2. Auto Bail Out

    Why are the negative facts always presented against the Big 3. My 2000 Ford Tarus is a Hybrid able to burn alternative fuels. Saturn has a great Vue electric Hybrid. Ford Focus gets 35MPG. Lets not forget Toyota makes the gas guzzling Tundra pickup and the Lexis bot sporting V8 engines. Comon consumers start reading between the lines that we are being fed wrong data about the Big 3. I truly believe in supporting our US workers and providing the Big 3 the same oportunity to compete on a Global market.


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