I’ve been reading this article on the chances dwindling for a bailout of the U.S. auto industry before Obama and the new Congress take office in January. Republicans are blocking efforts for financial assistance. Without aid before January, it’s possible that one or more of the Big Three automakers (particularly, GM) may fail.
I think the Republicans are right. Let them fail.
“The financial straits that the Big Three find themselves in is not the product of our current economic downturn, but instead is the legacy of the uncompetitive structure of its manufacturing and labor force,” Alabama Sen. Richard Shelby said in a statement. “The financial situation facing the Big Three is not a national problem but their problem.”
Exactly. They created this mess. While Toyota was busy designing the Prius, GM was putting all its efforts behind big, gas-guzzling SUVs like the Chevy Avalanche and the Yukon XL. Vehicles that now, nobody wants. Too bad. GM made a decision and it turned out to be the wrong one. Make bad decisions, suffer the consequences. They don’t deserve to be bailed out.
My suggestion is, instead of giving $25 billion to the car companies, spend $25 billion to create a WPA-style program that will employ the people who are affected by GM’s failure. Put people to work building infrastructure, working on initiatives to improve the environment’s health, educating our children. There’s a lot that needs to be fixed in this country other than the auto industry. Here’s a chance to fix a lot of it, and at the same time provide for those who will lose their jobs.