Seriously? Automakers want 14 BILLION more dollars? So now the bail out will cost almost $40 billion? Seriously?
Now, look. I actually have immense sympathy for American car makers. They're under intense foreign competition, and frankly, other foreign car makers don't get stuck also having to finance their workers' health care. In my opinion, back in the 1990s when Hillary-care was on the table, GM and Chrysler should have gone to Washington and said, "Look. We don't know that this health-care plan is the best option. But we do know that the current system of health-care in the United States will bankrupt us. It is not fair to keep making us finance our workers' health care, when other companies with less unionized labor get to shirk their responsibilities. Let's come up with a system of health care of shared responsibility, and shared benefits."
But they didn't. Because, and this is where I stop having sympathy for American car makers, they have consistently been myopic. Why else would GM invest so much money and time into developing the EV1 and then throw it under the bus? Because they couldn't see a day when gas would hit $4.50 a gallon?
I know people are going to lose their jobs. I know that car companies provide good work for blue-collar labor.
But ... this isn't going to work. We can't keep throwing money at these failed companies.
Instead, we'd be much better off using that $40 billion to establish job re-training programs. Or let's spend $10 billion building the infrastructure so that we can get the country ready for a world of all plug-in hybrid vehicles.
But throwing money at the makers of gas-guzzling automobiles is kind of like throwing money at horse carriage makers at the advent of the Model T-era.
It's ain't gonna work.
1 day ago