Cartoon from here.
We are heading to bankruptcy. The reason? As citizens, we are afraid to use the brains God gave us. Consider what happened in Washington, D.C. today. More companies came to ask for handouts. The CEOs of the Big Three automakers came to ask for your money.
Humbled and fighting for survival, Detroit’s once-mighty automakers appealed to Congress with a retooled case for a huge bailout Tuesday, pledging to slash workers, car lines and executive pay in return for a federal lifeline. GM said it wouldn’t last till New Year’s without an immediate $4 billion and could drag the entire industry down if it fails. (from here)
Consider GM’s claim. If they go out of business, their collapse will drag down the entire industry. The other companies lose a competitor and that puts them out of business too?
Why is the American auto industry in this mess? Is it possible the government is already too much involved? Consider why our leaders are hesitating to help the auto industry. Our leaders are asking for a plan. In other words, our politicians want to impose still more mandates on the auto industry. For years, CEOs, labor unions, suppliers, dealers and a multitude of others have treated the industry as a cash cow. They took and they took, but what did they give back? Now all these people are coming to the taxpayer, the ultimate cash cow, for a bailout. Is that what capitalism is all about? Or is this about the ultimate ruin brought on by socialism run amuck.
If we want our leaders to stand up for the free market, we have to understand the free market. We must demand a minimum of government regulation, and we must be willing to accept our losses as well as our gains.
Other Views
X Curmudgeon, contrary to the title of the post, actually opposes the bailout. See here. Nonetheless, X Curmudgeon still has Big Government proposals. 
The Contemporary Conservative notes that the Canadian Government and the Canadian Auto Workers Union are also lining up at the trough. See here.
Citing a renowned expert, Cobalt6 argues against the myth of the $70/hour auto worker. See here. The problem here is one of terminology, wage rate versus hourly labor costs. See page page 37 of this document. Anyway you slice or dice it, Detroit is paying to much. Nonetheless, the news media and politicians are playing games with the numbers (Don’t they always?).
From On High points to a seeming anomaly. New auto plants are being built in the USA. See here.
Cartoon from here.
