Lies Of The Auto Industry

I’m tired of the lies… The lies of the media and scum-bag politicians and the general American idiot. I’m tired of hearing how GM, Ford and Chrysler put themselves in this mess and are solely to blame. The truth of the matter is that it’s mostly BS.

The Big Lie: “If they had made cars people wanted, they would be okay now.”

1) ALL car companies are hurting! China and India’s government are propping up their car manufacturers right now. Fiat is desperately looking to merge to survive. European manufacturers are shedding workers, idiling and closing factories to survive. Even the japanese, who have been making the ‘right cars‘ all along are hurting! They have unsold cars piling up and they are scared. I haven’t heard but, I’m sure there’s been negotiations all over the world for government assistance.

2) American auto makers have made the ‘right cars’ since their inception. There has not been a time in American history where Americans could not buy a fuel efficient car! Heck, American Motors made it their niche making small fuel efficient cars and where did it land them? Even as AMC floundered, you could buy compact Corvairs, Falcons and Darts. In the gas guzzling 70’s, you could sip gas with Vegas, Pintos and Colts. In the 80s & 90s, Chevettes, Escorts and many more fuel efficient models were freely available to Americans. NEVER has American car makers FORCED the public to buy large fuel inefficient cars. The problem is that Americans (and the rest of the world) prefer large vehicles. Might I point out that even the ‘right car’ makers are in desperate times now.

Lie #2: If American executives weren’t so greedy, the company would have more money.

Granted, I believe that people in business now care more about lining their nests and pillaging what they can get than what is best for the company or it’s customers, the real problem is that it’s ALL EMPLOYEES! Monopolies are bad. ALL MONOPOLIES! Unions are monopolies! Unions have a monopoly on labor and they unfairly drive up the cost of goods. Unions may have had a place 100years ago when workers were being shot by company thugs but nowadays, when a worker can sue for getting a paper cut on the job, they have no place!

American car companies had unions forced on them by labor laws. They now can not shed the unions due to labor laws. Foreign car companies successfully avoided unions and thus have an unfair advantage.

As far as executive compensation goes, yes, they are far too high in my opinion but, 500,000 artificially inflated union salaries have far more of a bottom line impact than all of the executive perks combined.

Lastly, if you look at the extra costs incurred by government regulations that only affect American manufacturers, you’ll see that the government has done even more damage to US companies. Chinese manufacturers can pollute all they want and then dump their parts in the US due to f’d up US laws.

Lie #3: “Who cares if we lose American car companies, Toyota, Honda, etc. are all made in America.”

Oh the ignorance of this one… American car companies build their cars from mostly American made parts. Yes, a portion of parts are foreign made (e.g in mexico) but, foreign car makers are usually 90% foreign parts. When you buy an ‘American Made Toyota’, you are buying an American ASSEMBLED toyota who’s parts have mostly come from japan and china. DON’T EVEN GET ME STARTED ON THE MONEY LAUNDERING DONE BY FOREIGN COMPANIES!!!! That’s a topic for another post.

Lie #4: “We should let the car companies die. It won’t affect us”

1) I need to write a post about a service economy vs a manufacturing economy and how the service economy is basically a ponzi scheme but, that’s for a later post. Let me just say that no country ever grew economically on a service economy.

2) The Big Three ARE the war time manufacturers. We can not lose them or we lose our war manufacturing capacity. To all of you kooks out there that think that is a positive thing, fuck you, you’re idiots.

3) The job loss trickle effect will be staggering. We not only kill the car companies, we also kill their American suppliers. We could boot-out the foreign manufacturers and not be nearly as affected (because their parts are mostly foreign made).

I could go on and on about this but, it’s pissing me off too much so I’m going to end this here and maybe add more later.

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