By overwhelming majorities Americans have told pollsters that they oppose government bailouts of the automotive industry, as well as Wall Street and banking institutions. Implicit in that sentiment is the fact that they also oppose the government running these industries.
The entire scenario is antithetical to everything for which America has stood for over 200 years.
Thus, it is time for Americans to express their displeasure with the bailouts by refusing to buy anything made by 'Government Motors'--G.M. and Chrysler. If management and labor were so inept that the companies were run into the ground, then they should have been allowed to simply die rather than to go groveling to government for a handout.
And Obama's plan in taking over these companies by essentially handing them over to the very entity that is most responsible for their demise, the United Auto Workers Union, is as asinine a thing as one could expect from a law school egghead that never ran anything in his entire life. Outside the government's stake in the company, the UAW owns the rest.
The primary reason GM and Chrysler could not compete with foreign automakers is the UAW and its outlandish demands for compensation and benefits to blue collar workers. While it is true that a worker of any stripe is important to the success of any company, it is ridiculous to pay workers with minimal education requirements a salary and benefit structure that is comparable to that of Registered Nurses and far superior to that of teachers.
One of the reasons the American car companies have found it difficult to make an acceptable profit on small cars is that for each auto sold, roughly $4000 of the cost of that vehicle goes to worker benefits. Four thousand dollars per vehicle. This means that building and marketing a small car for under $12,000 is nearly impossible, and if it is done the company gets very little from it.
Yet the Obama-run General Motors is going to be expected to sell small vehicles almost exclusively. This is the mandate given to it by its new 'owner' whether Americans want them or not. In fact, it is clear Americans do NOT want them, or else they would have been buying them.
But in this new era of government ownership of private business and government-mandated standards, salaries, and products, we are going to be told what to drive whether we like it or not.
This is why I say that NOW is the time to boycott General Motors and Chrysler. If you don't like bailouts, and if you loathe government telling you what you have to drive and making sure its state-run auto company builds only what you don't want, then let your voice be heard by your pocketbook. Do not buy from General Motors or Chrysler! It is imperative that Americans who believe in free enterprise instead of socialism make sure that this unlawful, illegal action by Obama fails. And it is important that it fail while we still have a choice as to what to drive.
On a related note, a true American patriot, Governor Mark Sanford of South Carolina, was ordered by the S.C. Supreme Court to request the multi-billions in federal stimulus money offered to the state. Sanford had refused the money because the Obama administration would not allow the Governor to use the funds to pay down the state's debt.
But the legislature passed a budget that includes the stimulus funds, which the Governor vetoed. When the legislature overrode that veto, the Governor still refused the money, stating flatly that it is the Governor's prerogative alone to decide whether or not to accept the federal funds. The legislature took the matter to the state Supreme Court, which ruled on Thursday that the Governor must request the funds.
Sanford's response was that he will comply but that the state will be in a deeper financial mess in 2 years when the funds run out, unless the legislature passes a massive tax increase of historic proportions to make up for the loss of federal funds.
The Governor speaks the truth, which is a prophetic foreshadowing of the coming trainwreck of the Obama economic plan for America--a plan that is increasingly looking like a descent into a hellish, chaotic nightmare.
For more commentary on a variety of issues, please visit my blog, updated daily, at The Liberty Sphere.
Comments
I agree, in fact I called for the same thing some weeks ago on my blog, "Buy a car from a socialist car company? No Way". Thanks for raising the heat on these ridiculous socialists who think the Soviet model can work. It's insane.
It's not the fact that GM & Chrysler were selling small cars, per se.
But it's the fact of the poor design, quality and workmanship vs price (or, Bang For The Buck).
I have to agree with you Anthony, as well as with the comments posted so far. Not to mention, speaking as a retired Paramedic, that small cars are death traps, period. And yes, that includes small car verses small car, not just verses big cars or trucks.
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