Ok, back on the grind and back to thought crime-ing. You know I have learned a lot since last Tuesday historic outcome. First, most folks seem to think if u criticize what someone purports or says in policy, that you are against the man. Second, I have been reinforced in my belief that folks is really ill-informed and talk out the side of their neck with a tendency to speak with emotion as opposed to reason- and more important any knowledge on the subject they tend to address. With that said, there are several things I want to say about the recent past and upcoming future. To lead off, I wanna say I’m gonna miss George Bush. Without him I would not have been able to write so frequently on
Now her comes the president elect, Barack Obama. You my folk Jones but come correct. Albeit I feel your proposed policies are a threat to my libertarian views, I support you and want you to succeed. I do feel that I believe your historic victory will do much for my personal cause. I think you will make it cool to be smart again. I’m sure you as me find it hard to find folks well read and competent in diverse subject matter such to hold a respectful dialectical tête-à-tête. In addition, I feel that you will encourage men to be men, extol the values of family, of being a father and wearing your pants around your waist with a belt if required. But like I said you need to come correct and some advice from me as a laymen idiot savant if I may proffer such.
- Auto Industry: Don’t bail out the auto industry; we gave them 25 billion earlier this year. If they fail we looses 3 million jobs, if you give them loot, we will still loose about 500,000 jobs and maybe have 10 plants closed. You cannot bail out a company that has a target price of $0. If you do, make them competitive, that’s the problem and make it incentive based only. Give tax rebates to folks who buy cars, and give a credit for those based on the more gas efficient vehicles they purchase. And make the workers take a 40% pay cut – they aint that productive, and for what when Americans aint even buying their cars. So don’t bail out company like GM, whose stock as I write this is worth nothing. Zero. And also, don't forget, place thyem crooks in jail. All them, I mean find out who did what and who much they looted from the people - that will go a long way to restoring confidence. Maybe then I will bring my loot back and invest, maybe. But DONT REWARD FAILURE.
- Job Creation: If you really want to move forward with this, which is something I suggested, would be required to energize job creation several months before you said such, please give the loot to the states and let them decide.
In addition, I know you speak of education, but I would suggest you fund more research so scientist such as my self can put our creative prowess for the betterment of America. Although we are few in number, world wide the scientist/researchers that we have are the cream of the crop. I mean if foreign countries offer me payment for my expertise why not my countyry? Research will take us back to being creative and enhance what is currently dormant in American ingenuity.
- Over all economic approach: If I asked most folks what you gone do or said you were gone do Mr. President Elect – chances are either they don’t know or don’t know the extent of the problem. Ergo, don’t make any economic decision until your team is in place. You are smart, but it scares me that I aint an economist and see the problems from the ground, as an independent investor and small business owner better than you do. Be truthful, tell folks the economy is falling off a cliff, don’t hide it. And please stop giving away loot to these mutha fucas – I let you slide with signing on to the bail out which was foul, especially when we don’t know what the loot is going for, and you don’t know either or else AIG wouldn’t be getting 80 billion, then 123 billion then 150 billion at final tally. Especially since you gone have us pay for such by issuing more debt in the form of bonds, which will, if history is correct will increase interest rates. I hope you study the stock market crash of 1929. Like now, all the big wigs; the Thomas Lamont's and the Charles Mitchell’s, just as now, came out and said the markets were straight. Back then the Banks tried to stabilize the market by spending 14 big ones, not the government, and what happened it still crashed.
All I’m saying jones is that I am down on your team, but I am not a mindless voter who has not read the constitution, nor any of the bail-out bills nor any of your policy proposals. I mean, unlike them that wanna yell and hollar and party for having a black president, and say the emancipated and dont wanna do no work, I fell you are a president who happens to be black and I desire to do my part. Because being happy aint gone do shit if you dont work to make certain you are a success. So if anything make us competitive. Because I said it before, the sub Prime crisis aint even hit us yet, and many more business and banks will fail. So tell us up front, because you know the states will be next, seeing their unemployment coffers cant or were not designed to sustain or support record job losses that we see currently. So Mr. President just a few words – be smart and what ever decisions you make, let them be finite. And make GWB take his empty kegs with him.
51 comments:
JONES: You know I feel as you do on this. I want to not only respect the singular achievement of Obama, but also to respect and like him for his actions and his scholarship in practice.
It's there, but I had to hear about it on NOTICIAS CARACOL and then do a lot of digging to get to some positions he has that are different from those of the frat boy.
Your readers may disagree with some of your economic views but they'll take the time to read them and occasionally debate them.
The majority White liberal sites are maddening in that they ABSOLUTELY REFUSE TO DISCUSS ECONOMICS AT ALL. There's some shame there in admitting that you like capitalism, I guess. I've tried to explain that countries like Venezuela and Sweden are not Socialist, quite the contrary. They have a generous public sector, but they are capitalist countries with pretty conservative fiscal and monetary policies.
I guess I might as well just write in Spanish for all the good it does. I get no disagreement or agreement or even argument. The ideas are merely incomprehensible.
Funny old world.
I think you laid out valid explanations for all your points. I disagree with only one, and its a half-hearted disagreement at that.
Bailing out the automakers. I have mixed feelings on this, so while I see all your explanations as valid, the automakers are the only major manufacturers left in these here United States.
I would want to see serious strings attached to any more money given to the automakers..serious strings like cutting back on what they manufacture and making them get serious on cafe standards.
We have to force them into this century evidently as they aren't smart enough to figure it out themselves.
Robert Reich has a great idea on the subject of bailing out the automakers:
In exchange for government aid, the Big Three's creditors, shareholders, and executives should be required to accept losses as large as they'd endure under chapter 11, and the UAW should agree to some across-the-board wage and benefit cuts. The resulting savings, combined with the bailout, should be enough to allow the Big Three to shift production to more fuel efficient cars while keeping almost all its current workforce employed. Ideally, major parts suppliers would adhere to the same conditions.
http://robertreich.blogspot.com/2008/11/real-difference-between-bankruptcy-and.html
KELSO
"I guess I might as well just write in Spanish for all the good it does. I get no disagreement or agreement or even argument. The ideas are merely incomprehensible."
lol im always listening and absorbing what u and RDB gotta say
Loved the post and your writing style, I think you pretty much took the words out of my mouth with everything.
I need to add you to my blogroll now.
One of the things I haven't heard since this economic crisis started is how the financial strength of these companies is graded. Just because a company is large does not means it's profitable. I lost a good job like this. What happens is that these companies get graded by Wall Street for how much potential revenue they have on the ledger. What companies do is they go out and acquire smaller companies or pick up receivables from other companies because it makes their earning potential look better. Their stocks go up and the board is happy. Then, when everyone realizes that either the books were wrong or the revenue they thought was coming is not the stock price plummets. This happens everyday. The only difference this time is that the financial institutions were involved and it affected everybody. As long as their is no regulation on how these companies operate and report income we will be bailing them out again. Everyone was making money when these banks had millions of mortgages on the books so they didn't pay attention to how bad they were. The politicians of both parties looked the other way. That's why lobbyists are the number one enemy of everyday people.
GM, et al brought this on themselves.
They make junk, and have made junk since I was a kid.
They've had ample opportunity to change, and they've flat out refused.
While the rest of the world invested in new, cleaner technologies, Detroit decided to keep on pumping out 10,000 lb. heaps.
It's a shame people will lose their jobs, but we cannot continue to hold onto the past or this country is history.
Awesome post. I do agree with what you're saying on most points. However, I don't think the workers of the auto industry should take a pay cut, only the high paid executives that made the bad decisions.
RDB,
It may take long lines and 25% unemployment for most Americans to see the big picture. For once I would like the President to tell us the way it really is. You have some excellent ideas, but lets not just start passing out money like we're doing to guys with masks on. I'll help out and volunteer, but that won't fill the coffers, fill your cash box or put skunk eggs on the table.
One in ten jobs are tied to the auto industry.
It isn't just auto workers that will be affected, it's a huge segment of the American workforce.
Dismissing it merely as the fuckup's of a bunch of stupid CEO's and CFO's is too simplistic and doesn't do justice to the situation it will create Fairlane.
I think we always head in the same direction but we take different routes to get there. I have no argument here except about the auto industry.
I remember back in the 70's the largest arirlines in the world were Eastern, TWA and PanAm. Now they're all gone but more people are flying more than ever with other airlines taking up the slack. The market abhors a vacumn.
If GM, Ford and Chrysler went under tomorrow, there would be someone to produce and sell cars the next day made right here in the US. It might even be Toyota or BMW, but they would still be creating jobs for people and business for other businesses.
I say let the Big 3 sink or swim according to their own talents and or schedule and put the money elsewhere. Maybe in the development of a high-speed train service like they have in the rest of the developed world but one that runs on maglev or whatever the new green gimmick is for the day.
Oh and as for a tax rebate for buying cars, how about instead a tax rebate for those who put up solar panels on their roofs instead, or those who insulate their homes from the cold and so use less energy? How about trying to rely less on foriegn oil so we don't have to spend money on having troops in Iraq for their oil or spend money on having troops protect the oil reserves of the rest of the Middle East.
You sounds as though you're the only one who's in the know. I'm sure Obama knows as much as you do and even more because he now has access to much more information, classified and otherwise. I'm sure he also knows what would really help the economy as opposed to padding it with bailouts and stimilus checks.
Admitting to this however, isn't going to happen and you also know this. It's political suicide to tell the truth. He also isn't going to do anything to save the economy that doesn't please the powers behind the throne.
But I'm sure if the White House had an advice hotline, you would be all over it. You should tell them to get on that.
All I'm saying is, don't expect too much. Oh and get off your high horse.
[And clean out your voicemail. It is becoming profoundly irritating]
I nominated you for BEST INDIVIDUAL BLOGGER FOR 2008
KELSO'S NUTS
yes in deed, i am just taking the capitalistic loot dealt to me by living in such an economic system - and u know i dont understand spanish lol
Dusty
but the auto industry aint like it used to be and is a dead weight the way i see it, we dont buy their cars anyway - do we?
Dusty
the bail out money will basically go to the union workers pension from what I have been able to understand, most folks dont get a package like that for being unproductive. makes no sense to pay at rates of the 80s when the loot aint there
Jay Midnyte
y thank you
Talina
thank u maam.
Clifton
good point, i think they pay rating agencies like the banks did
fairlane
I could not have said it better
DeAnna Troupe
they either cut salaries or cut jobs is all im saying some loot better than no looot to me
rainywalker
thanks and i agree, but if we do, give it to the states under auspices of job creation, not to banks to buy other banks - slippery slope. Paulson's plan has opened pandora's box folk
Dusty
Im down to wait and see but like the song it has only just begun
Curious
I think that is a great suggestion, the tax rebate was something i fighured would not be seen as just giving out money, but why they at it - gimme some of that loot too.
Emeritus
nope, just saying in my opinion what i think. Besides, even if he had not won, I would suggest the same thing. He will not be acting alone, he just the head these are my suggestion for house and senate too.....and yes maam
KELSO'S NUTS
nooooooooooooooooo y?
I want to be able to hold onto my current job until I can get my own thing up and running. They say goverment jobs are hard to lose, but I am just a contractor here.
"I mean, unlike them that wanna yell and hollar and party for having a black president, and say the emancipated and dont wanna do no work, I fell you are a president who happens to be black and I desire to do my part"
...Golden!
DOCTAH: No...here's good for discussing economics.
I meant I get a big blank when I try to raise these issues elsewhere.
YES. I did nominate you for BEST INDIVIDUAL BLOGGER OF THE YEAR.
torrance,
GM, Ford and Chrysler make good high-quality products that are too costly to produce profits.
In fact, all three companies build cars that get good gas mileage. And they lose money on every one. They also build high-mileage vehicles in other countries. But union rules prevent them from selling those cars in the US.
You suggested giving "rebates" to buyers. But that has the same effect as giving money directly to the car companies. Either way the companies receive government support to build unprofitable vehicles. That's bad.
That's Socialist Motors.
If GM, Ford and Chrysler are to have futures, then all union wage and benefit contracts must change. Management has always had to work around the contracts, which are now insanely unaffordable. But Nancy Pelosi and Harry Reid want everyone in the country to pitch in a lot of taxpayer funds to keep them going.
It seems likely Obama will go along with this nonsense. Socialist Motors is with us. And it won't stop there. Obama has a soft spot for unprofitable and never-going-to-be-profitable industries. like solar and wind.
He dislikes profitable businesses, like the oil industry. Probably because he knows he cannot control it, even as president.
Honda and Toyota build and sell 4 million cars a year in the US. And they earn a profit at it. GM, Ford and Chrysler can do the same simply by following the same business model as the Japanese carmakers.
Bankruptcy has a good side. When a company files Chapter 11, it is reorganized into a structure that functions. Debt is reduced, new stock is issued. But more important is the fact that contracts are renegotiated.
In a bankruptcy filing, union power is suddenly gone. The people who participate in the bankruptcy proceedings work to craft a plan that allows the company to go on living.
If it becomes clear that a life-sustaining plan is out of reach, then it is likely the bankruptcy proceedings will shift from Chapter 11 to Chapter 7 -- a liquidation. A giant tag sale.
Then everyone goes home because there are no jobs and no organization to pay the benefits to employees and retirees. It happens. A lot of Internet companies went Chapter 7 after the Tech Bubble burst in 2001.
As for AIG, most of its operations are healthy. The money advanced to AIG by the government was intended to ensure the company's survival. But the money was loaned at about 14%, and that rate was applied to the total amount in the loan even though the company had only drawn down part of the funds.
Few companies can survive when they must borrow funds at 14%. The new rate is much better. LIBOR plus 3 percentage points -- about 5.25%, perhaps. That might do the trick.
By the way, my bank, Sovereign Bank, still offers Subprime Loans to home-buyers. I picked up a flyer from the bank the other day. It offered a 97% Loan-to-Value mortgage. It also permitted the seller to kick back 3% of the price, thereby reducing the buyer's cash outlay to ZERO.
The flyer headlined the mortgage as a CRA Loan. It also stated there was no minimum credit score for the borrower and no minimum income requirement. However, the election is over and all that turmoil about subprime loans has become part of the past.
curious, you wrote:
"I remember back in the 70's the largest arirlines in the world were Eastern, TWA and PanAm. Now they're all gone but more people are flying more than ever with other airlines taking up the slack."
There is nothing to compare between Airlines and Car Companies.
The Airline Industry is a service industry and the Car Companies are manufacturers.
You would have on more solid ground if you had compared Boeing with GM.
Or if you had compared Airlines with Hertz or Avis.
But you went for apples and oranges.
In my line of work, Job Creation is key. Our unemployment rate is on the rise, and people are getting laid off left and right. And guess what? It is my job (and that of my coworkers) to make sure that these folks can make a smooth transition, can access training, and can be on public assistance for the least amount of time possible.
Along with hoping for recovery in the Economy, I think this is a large part of it and hope to see MAJOR change...and soon.
As usueal Torrance - you are on point -- Smart Black Man, stays out of trouble/jail, got good credit, doing his own thing - that's sexy. I wish these young guys realized that. Glad you're paving the way.
In the meantime, look out for your homegirl - Me - South Memphis/Third Street and Belz.
I’m a finalist in a Blogging Scholarship. Visit this link and select Danielle Lee.
Checkmy page out, too. I posted my essay that earned me the finals Nod - Why I Started Blogging.
I would really appreciate your support.
Thank You very much.
curious:
i don't think america has a reliance on foreign oil (per se) but rather a reliance on oil being sold in dollars so we can print all the money necessary to buy it and fund our military.
-the donalg
and because there was (and still is) fear of colored folk, white middle class people moved into the suburbs. this propelled the growth of our auto industry. the american auto industry is apart of the culture here and it explains part of the reason why we don't have a train system. it's absolutely ridiculous that there isn't an elaborate train system here. that would spawn plenty of jobs in this country if we created one but the idea is not apart of the american culture.
-the donalg
Thanks No Slappz, you've just made my day.
donalg,
Massive train system in the US? forget it.
You might recall that the Union Pacific and Central Pacific Railroads met at Promontory Point way back in the 1800s. A national rail system grew from there. Passengers and freight.
But airlines killed the long-distance passenger trains in the US. After WWII, flying began eating into ridership on trains.
Eisenhower pushed the construction of the Interstate Highway System in the 1950s. As that network expanded buses cut further into the train business. Then cars took more.
Meanwhile, Amtrak is still around. but most of its passenger lines are money-losers.
Bottom line: passenger railroads are expensive to run and generally unprofitable. What is the point of supporting them if their economics are so lousy?
Furthermore, it is silly to argue that a huge train system would create more jobs than the auto industry and every other industry connected to it. Especially after accounting for the fact that a manufacturing industry like cars can export products while a railroad service industry is entirely domestic.
On the other hand, the cheapest way to ship anything across the US is by rail. Freight railways are profitable. See Burlington Northern -- BNI.
You have an interesting racial perspective on whites and cars. White Flight was real. The concerns of white parents are still valid.
Schools in NY City -- where 70% of public school students are black or hispanic -- show achievement levels that reflect the racial balance.
The schools with the most asians produce the best students and the best overall standardized test scores. Thus, there's good reasons to enroll your kids in the public schools with the best students and avoid the schools with the problem students.
For some parents, that means moving to the suburbs. However, more than half the country already lives in non-urban settings.
An article appeared today about where Obama will send his kids to school when he moves into the White House. Will they go to public school or private school?
Where do you think the Obamas will send their kids?
i agree that a massive train system in the usa is highly unlikely. that doesn't mean there shouldn't be one. i personally don't like how we have to rely strictly on automobiles. and there wouldn't be industries connected with the train industry why not? Someone has to build cars, rail lines, stations, etc. if texas can figure out a way to generate revenue by building toll roads someone can figure out a way to make a train system profitable.
i don't know how you transitioned to schooling for obama's daughters or school in general (well i can kind of see how)... but i would guess the obama's will put their daughters in a school that is safe... where they would be most safe, i don't know.
-the donalg
It's a Cold Game, Shit is real out there. I'm seeing some wild shit crackin on tha street level. Niggas is getting hungry, ribs is touching.
I'm not understanding this bail out everybody shit, it don't make sense. I'm confused as fuck right now, where is all tha fucking money? It's like some unseen entity took all tha money and is sitting on it.
I sure hope Obama reads your post.
You do nothing but spit knowledge that may often go over some people's heads. Not saying it is anyone who reads this blog, but that could be a possibility.
Keep doing it.
i am definitely a supporter but i will definitely also be a critic...period!
i know its going to take more than just a first term/4 years hell it might even take 8-16 to get us even remotely back on track...but thats if he makes the right policy decisions...and definitely HELL NO to bailing out the auto industry...NEGATIVE
bail me out!
donalg,
You wrote:
"i personally don't like how we have to rely strictly on automobiles."
We don't. First. Where do you live? Second, we have cars, buses, planes, trains, light rail, trolleys and subways providing mass transportation in this country.
Some stuff is simply too expensive to run everywhere. Like trains. There are commuter railroads going into Chicago and New York. If they were cost competitive, every city would have them.
As for Toll Roads in the US, they are unprofitably. The tolls are collected to get a fair share of the costs from the people who make the most use of the roads.
Just like NY City subways system. Two-thirds of its revenue comes from fares collected from riders and the other third comes from state and federal tax revenue. And we are now looking at a possible fare increase to $3.00, up from $2.00.
Well I think you should start copy and pasting these blogs to www.change.gov he has a place for Americans to share.
A president with a suggestion box! Come on when is the last time you seen that? I think you should put your concerns right there when ever they pop up! *lol*
-OG
here's the direct link for you
http://www.change.gov/page/s/yourvision
-OG
Riddle me this. I live in MICHIGAN in a major city. People from the country downsouth and other states, talk out the side of their necks. They speak on the BIG 3 FORD,GM etc etc. They say what should be done. That's cool but I problem none of YOU ALL live up here. You all just see what's reported on the news and talk.
You don't live around this (BIG THREE) everyday. Come up here and live b4 You bloggers give your worthless 2 cents.
What every happens will happen folks from da south need the cars and trucks Michigan makes.
Arm Chair QB you all make me laugh. That's like me coming south and telling U the best way to do YOUR JOB. I don't know what U do. People who have no experience living around the BIG 3 UP NORTH always HAVE SOMETHING TO SAY.
JOHN:
come with some analysis, facts, some opinion.
Don't cry about shit
Very nice post!
It is our duty now as Americans to support and HELP our president, our nation, and ourselves to become better as a whole and lose a lot of our selfish, mindless, and lazy habits and depend on things to happen to us for no reason.
God has blessed us with Barack Obama and God is giving us the opportunity to get ourselves out of this mess. We all need to help!
(but I'm still gunna party and smile all day because the new family in the WHITE HOUSE is BEAUTIFUL!!!!) tee hee ;)
GOD BLESS AMERICA!!!!!!!!!!
Sista GP
i feel ya
mrs. mary mack
thanks scholar
KELSO'S NUTS
thought we was folks jones lol
no_slappz
i understand where u coming form yet giving money to banks, when we dont know where money going, or worse to buy other banks aint socialis - lmbao.
but i will tell u this, your partisan azz better become objective and smell the really real - your argument is vacous folk
Tera
need to teel that to slapppz. great point
DNLee
u got my support home slice, and im just giving my opinion
donalg
we rely on every thing not just oil we dont make jack but services and we cant do them right.
Tha BossMack TopSoil
ribs against skin is really real folk - its real in the field
Urban Thought
thanks but it is just my opinion folk
T.C.
i want some of that loot too folk
no_slappz
slapz it aint really even hit yet but folks turned the other way as if they cant see it
OG, The Original Glamazon
i got three letters from him already (in mail) so we straight)
OG, The Original Glamazon thanks scholar
JOHN
shut the fuck up. I live in america. Start your own business. if u made something folks wanted to buy u would not be bichin - so john - suck it up, man up. im in the game what u doing? riding the bench i see and if u came down here and made sense, u make sense no matter where u from. Japan beating kich out and it makes me sick to my stomach - represnet folk
Jay Midnyte
he tripping lol
Princess Katrina
u get a pass and god bless america
"well read and competent in diverse subject matter such to hold a respectful dialectical tête-à-tête"... That's me to some degree so I'm just gonna say I appreciate your thoughts and opinions and I always click away feeling I either learned something or confirmed what I was thinking.
:-)
I may not always reply but I always read. And thanks for hitting my blog one in a while. I don't know how you find the time.
If auto industry goes kaput. We have effectively outsourced the u.s. carbiz. Is that what we wanna do?
http://my.barackobama.com/page/content/contact/
I'm in agreement, package it and send it to him.
I'm doing well quite with my business. It was handed down to me. I'm not ashamed of this. I've also been helped out by Nepotism. I work like I'm a single dad with two kids. What Your doing is basic. I'm not new to this nor am I of a first generation anything. I'm not the typical brotha.
I don't deal with these boys just happy their first generation asses went to college.
Point is You watch tv and form an opinion. You don't deal with what People do up here. You have NO SAY in what goes on up here. In the grand scheme of things what You say really don't matter. You are joe blow from anywhere usa.
How you doin' T!
I am going to say this.
First of all Jones, it has always been cool to be smart. Only squares believe otherwise and haters try to make believe that they are not jealous of what grey matter produces. So it is the brainiacs up this round.
I also agree with your points about the auto industry. We have been hearing about the problems that are now impacting that sector of business for decades. They should of thought about the fact that their product should of been in transition early on.
Of course it would help if the consumer sector would stop believing that we have to buy everything that they place on the consumption plate. If enough people would stop buying into the notion that we have got to have every thing they produce it would get the message across.
You know you are preaching to my chior on the subject of education. I really wish you'd write on that subject more.
As far as the historic impact that Obama has had on the national story, I am not sure what I think about that yet. There is the obvious because is a first. There is the emotion-this is really the major mass experience of this decade. Perhaps the first time that we have felt very American and black at the same time. But there are other related aspects that I believe have not been raised yet.
I like the suggestion box idea...I nominate T as the official Tell it Like it is Advisor to our new president. Cabinet level position - the No BS Dept...oh but I know as soon as you clean it up you will close the department down. Gotta love libertarians and their committment to small govt.
Much love.
john, you wrote:
"People from the country...talk out the side of their necks. They speak on the BIG 3 FORD,GM etc etc...You don't live around this (BIG THREE) everyday. Come up here and live b4 You bloggers give your worthless 2 cents."
Plenty of analysis has gone into the big picture of the Auto Industry. The effect of Unions, Management, Government and Consumers are all understood. The impact on Michigan and surrounding states is well known.
All previous actions have only postponed the day of reckoning. But postponements are no longer possible. Now the domestic auto industry must reorganize itself and keep going. If not, catastrophe will follow.
And here we are -- with GM, Ford and Chrysler on the edge of bankruptcy. On the other hand, Honda and Toyota are succeeding. The lesson is clear. The Japanese have the right business model. Detroit is operating according to an outdated model, and slowly dying.
You wrote:
"What every happens will happen folks from da south need the cars and trucks Michigan makes."
The US car market is big -- 10 million-15 million vehicles a year. But Detroit's share of the pie is shrinking -- for a lot of reasons. And those reasons have brought the car companies to the brink of bankruptcy.
If the government hands over the $50 Billion that Obama has urged, Obama is doing nothing less than showing his support for the creation of Socialist Motors.
Even though Detroit is building a lot of good cars these days, quality alone is not enough. US car companies have to compete on price. But they cannot.
If GM gets $50 billion this year, the company will come back for more next year. The begging will never end.
Unless. Unless, GM is forced to submit to a Pre-Packaged Bankruptcy filing that includes an Across-the-Board Wage-Salary-and-Benefit Cut for employees and retirees. Everyone must share the pain.
At least that way there is a good chance for saving almost all the jobs tied to Detroit.
But without a collective Reduction of wages, salaries and benefits, the car companies face collapse.
If a bankruptcy filing comes later, rather than sooner, it will lead to far worse consequences, including substantial job losses and further erosion of Michigan's economy.
Or the UAW should buy GM. At $3 a share, the company is worth less than $2 billion.
Unfortunately I think the auto bailout might happen before he's in office. Stupid government.
the stuff about emancipation and partying cracks me up every time. funny but sad.
regarding the comments on job creation..seems logical to me. last saturday in a conversation with a ten-year-old on that topic, we basically came to the same conclusion.
Hey Torrance,
sorry my brain is just too tired to make a more interesting comment. But I did want to say hey.
John
well i stand corrected i would like to apologize, except for the fact that we need to make stuff folks will buy consistently
msladydeborah
no chocolates - danmg
DNLee
i would do that but they would listen and take my idea for their own like politicians
no_slappz
im sick, we agree - all i want is for us to be competitive and when we are the US is the BEST
fly tie
smart kid. lol
smarterwoman
Miriam
thank u sister
Son you need to do research before you start to type your opinion. You also need to invest in a few grammer classes to improve you comments. Som you president elect has not propsed the bail out. You current President Bush did. There fore what goes on before the "black President Elect" takes office can not be taken back revised or revamped once he does take office. So if you have something to say about said bailouts you need to direct them to the current President in power, not the President elect. I do however agree that the auto bail out is wrong on so many levels. But if you take into account that actual people will be losing their jobs I can see the point of the government in reasoning to go thru with it. The pay cut issue is a good one, but once again the unions are to blame for the outrageous pay that the current employees enjoy. So get rid of the unions and take away all the high paying jobs that they have gotten for people doing little or nothing.
anonymous,
The only way to break the union hold on the auto industry is through a Chapter 11 bankruptcy filing.
Chapter 11 allows the court to dissolve all contracts by which the bankrupt company is bound. Then it starts over -- fresh.
In fact, there's even a term that goes along with this -- fresh-start accounting.
Anyway, GM must restructure, with the help of the bankruptcy court, and focus on maintaining as many jobs as possible. That might mean knocking down pay and benefits a lot. But the alternative is for a lot of people to lose 100% of their pay and benefits while a small number keep theirs.
Punishing people is not the point. The company must be given a new lease on life. But that can happen only if all involved parties share all the pain.
Anonymous Anonymous
read my banner king of the grammatically incorrect i can respect that u dont read. opine all u like my is grounded in rumination and likely a better researcher than u - coward - i mean anon
no_slappz
point well taken and i see where u coming from
I hear you...I was definitely emotional about Obama's victory but sometimes I really trip off of how people are like in love with Obama to the point of putting him on a godly pedestal. It's strange. He's great and I feel confident that he will do the best job he can but like you said: we all (meaning all Americans) need to step up and take our heads out of the sand =p
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