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Thread: The Auto Bailout
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12-10-2008, 07:24 PM #24
The idea of bailing out the auto companies is somewhat repugnant. Like the financial bailout it may be a case of what is best for the economy as a whole. If action of this sort will prevent the great depression circa 2009 then it is better then the alternative. I heard the same hue and cry during the savings and loan fiasco and the Chrysler bailout years ago. The government eventually made a profit on those loans and maybe they will on these.
IMO the auto companies made the cars that people wanted to buy. I see a lot of old American cars still putting along after twenty years. I can't say the same for the foreign stuff. I know after seven years of trouble free service I am happy with my Ford. (knocking on wood)
I read an article in the NY Times here critical of the US auto companies yesterday. While I don't agree with the conclusions as I stated above but his statistics are interesting and put into perspective the cost of labor in the price of automobiles between the big three and other manufacturers.Be careful how you treat people on your way up, you may meet them again on your way back down.