Call your representatives and urge them to vote against any bailout of Ford, GM, and Chrysler. Not only will it only delay the inevitable, but going Chapter 11 will let the automakers address the biggest problem that got them here: the corrupt, obsolete unions.
Sure, American auto manufacturers make a crappy product compared to their foreign counterparts. The chances of my ever buying another American car or truck is almost zero, but if they made a competitive product perhaps I would change my mind. I have no problem buying the better Japanese product, particularly when that vehicle is made in the US by Americans. I care less about which suits make the money than which workers make it.
But I truly believe that American workers kick butt and that the substandard products put out by the Big Three have nothing to do with foreigners being better at making cars (a lot of them are made here in the states by foreign companies employing Americans). The quality gap is far more the result of the huge blood-sucking ticks on their necks that are the bolshevik unions. For every American vehicle sold a couple of thousand dollars that could have gone into the vehicle, perhaps making it as nice as a Japanese or German or Korean vehicle, ends up thrown at the corrupt organized (and for some reason, legal) extortion that is the US automaker related unions. The average hourly cost for a Big 3 worker is $73, whereas the average hourly cost of an American worker for Toyota is $48. Remember, that worker for Toyota is also in the US, we are comparing apples and apples. And do not get me started on the unbelievable concept of Job Banks (where the automakers pay people not to work!).
[HT: Carpe Diem for the graph]
If they go into Chapter 11 they do not go away, remember how many companies like airlines go into Chapter 11 without even interrupting their service. If they do a Chapter 11 they can renegoiate their contracts with the unions. If we bail them out, with my childrens’ and grandchildrens’ still-unearned money, the problem just continues.
And how Orwellingly chilling is this talk of the idiots in D.C. attaching strings that will tell the automakers how and what to produce?