Auto Industry Bail-out – I Support It!

I’m hearing grumblings all over the place about the auto industry bail-out and none of it is positive.  Of all of the various bail-outs that our government has done, the auto industry is the only one I SUPPORT.

Why do I support bailing out the industry? – because, the US government has done the most to kill the US auto industry.

1) The government has laws that makes disolving the unions impossible and the US auto makers are being killed by them.  The foreign manufacters (even their US operations) are not unionized!

2) The various UNCONSTITUTIONAL CAFE rules have really hurt the manufacturers.  Where in the constitution is the federal government given the power to dictate emissions and fuel economy!?!?!  If these are desirable traits, the market will drive them.

3) The foreign manufacturers benefit from lower taxes-

a)  Foreign corporate income is taxed at a much lower rate than the US manufacturers due to the US having the SECOND HIGHEST CORPORATE TAX RATE IN THE WORLD.

b) They import virtually all of their parts and do just the bare minimum assembly in the US.  The US government has written the laws so that it is advantageous to manufacture the parts in foreign countries and then import them with almost no tarriffs.  The US maunfacturers use more domestic made parts and thus are hurt.  The EPA, OSHA, et al have killed US manufacturing all the while giving foreign countries “most favored trading status”.

I’m tried of hearing – “the US manufacturers did it to themselves, they should have made more economical smaller cars”.  EVERY SINGLE US MANUFACTURER has offered small economy cars since the 40’s.  Americans have had plenty of oportunity to by a Chevette, or an Escort or a Neon a any time. All are small and all get great gas mileage.  People tend to buy the larger cars then get pissed when the gas prices go up and then say “That damned Oldsmoble gets horrible gas mileage, I’m buying a Toyota!”  To which I say, “Dumbass, if you wanted gas mileage, you should have bought the small GM car in the first place.

Then you get the “Foreign cars are higher quality” line which is bull-crap.  Studies have identified tha GERMAN cars are thr most problematic (which is funny because they are thought to be the highest quality).  Studies also show that Japanese car owners tend to follow the scheduled maintenance and maintain their cars better than American car owners.  Again, the studies have shown that American cars are just as reliable as the foreign makes when they are taken care of.

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One Response to “Auto Industry Bail-out – I Support It!”

  1. Cars Says:

    […] A­uto I­n­dus­try­ Ba­i­l­-out – I­ S­upport I&#17… […]

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