Bailing Out Automobile Manufacturers

Well we have been helping all other big businesses and industries, so now the automobile manufacturers want to get in the act too. I mean after all we have been giving the oil industry tax breaks and making it possible for them to record record profits for two quarters in a row even though the rest the country is in financial chaos. We are rewarding the banking and financial industry hundreds of billions for their ungodly salaries, greed and waste. It's only fair for the government (the American tax payers) to turn around and bail out the automobile manufacturers. These are companies who have resisted all the mpg mandates that the government tried to impose on them to make their cars better for the environment and more completable with foreign imports. They have been pushing bigger and bigger SUVs and even most their other car models are getting on average less mpg than they did 10 years ago. The people in the rest of the world have been shaking their heads at us Americans in disgust as we zip around in our gas guzzling SUVs Why has the auto industry push these dinosaurs of responsible automotive design? They make the highest profit margin on the SUVs and they can get around some of the environmental and safety requirements, so in other words greed. So now because the auto industry also hire a large number of people that are making ungodly amounts of money, we are supposed to bail them out for their refusal to make autos that can compete with cars designed overseas.

There are reasons that bailing out the auto industry is as stupid as the breaks we have been giving the oil and banking industries. As mentioned above, The government has been trying to push regulations for higher mpg, which would have made the American companies more competitive against foreign companies and would have forced companies to make more smaller and mid sized autos instead of huge SUVs that according to advertisements they push as something people just got to have. Many of the American automotive companies are tied in with foreign companies to make cars in Europe that would fit the bill for suddenly economy minded American consumers, Some of the foreign manufacturers make cars in the U.S. to sell in the U.S. aren't these basically cars made in America? The automotive manufacturer's will have no better use of the money than the banking industry. The president was just on the TV pleading with the banking industry to not sit on, or invest in acquiring other defunct banks with the money that was given them from the government to free up money for lending, the auto industry will probably not put that money into retooling like it would be meant to used, instead they will probably use it to pump up their worth and pay their shareholders and executives as they wait out the crunch while waiting for a better time to again push SUVs back at the American public.

The biggest fear by oil companies both abroad and at home is that the American public start conserving oil enough it will drive the prices way down. We have already made Saudi government nervous because we have been conservative and it has drove down prices. One of the best things we could do for our country is wean ourselves from foreign oil. If American car manufacturers made smaller cars with better mpg it would tend to drive the cost of oil down even more reducing our dependence on oil from parts of the countries that aren't necessarily friends of ours. In a way if we bail out the auto manufacturers, we are enabling them to make bigger cars that drive more of our energy dollars overseas.

Most of all if we are to have unregulated capitalism we have to allow the market fall on big industries and institutions that continue to do stupid things for greed, if the banking institutions weren't thinking the government would bail them out they would have never took such chances or paid their administration people so well. It's the same way with the auto industry, if they wouldn't have got lost in their greed of high markup SUVs they would have been concentrating on building competitive energy efficient vehicles. They would still be hit by the economic situation that our country is in, but they wouldn't have set themselves up for the loss of business to car manufacturers who have already retooled to make energy efficient vehicles long ago.