Should we Bail out the Auto Industry

The Big 3 in Michigan say that they are in emergency need of a bailout. They are looking for between $25-$50 Billion Dollars. Obama says we should do, Pelosi wants it done, Congress isn't so sure. What should happen?

I am against the Government spending our tax dollars to bail out any industry. If the Government is in the business of saving people from themselves, how come we don't help people who over extend themselves with credit card debt, buy too big of a house, buy that car that just cost too much. I could use a bailout.

I understand that if we allow them to go under, it will be a big hit on the economy, but really how much worse can things get? As bad as things are, wouldn't it be better to take the hit now and restructure these failing businesses?

The Auto Industry is in trouble because of how they do business. Toyota and Nissan seem to be doing OK. No, they are not doing great, but they are not ready to fold. The biggest problem I have is when a majority of the money goes to the overpaid people of the union. It costs approximately $71 an hour on average for each worker in the Big 3, compared to $42 an hour for the others. A majority goes to paying Retirement and Health benefits.

Before you go sending them my hard earned money, lets get this business model in line with a philosophy that will prosper in the long run. The Auto Industry has been in trouble for years. The Union has priced themselves out of the Market, now they don't want to flex to get back in line to help the ailing industry survive. Why wouldn't it be a smarter move to file for Bankruptcy and restructure. Get rid of these bad union deals that are killing the American Auto Industry? Doesn't it make you wonder why you can buy a comparable auto from overseas and get more options for less? They don't have the ridiculous overhead of the Union.

“If we subsidize General Motors now so it doesn't go under in 2009, it will go under in 2011. But when it does, it won't disappear. The factories won't go away. It will go through bankruptcy reorganization and a new company will emerge that makes the same cars, but with much lower costs and much better competitive prospects,” economist Peter Morici said. - WISN Story

I say that we let the American Auto Industry as it is today go into non existence. It won't take long for the Industry to rise from the ashes and hopefully with some intelligence to not allow the same type of greed from the Union take them down. All of the workers that will temporarily be unemployed will need to adjust to the lower wages. When you are overpaid, then you have to know that the day is going to come when you are going to have to decide to either work for the Market wages or not work at all.

I say no to the bail out, when it is all said and done, maybe American Automakers will be able to build vehicles that are priced within the Market. If done right, the overhead will go down, the cars will be in line with the competition, and sales will thrive with more profit and everyone will win.