The Big 3 To Go On Welfare

I noticed in the Washington Post business section this morning http://www.washingtonpost.com/wp-yn/content/article/2008/09/02/AR2008090202656.html that The Big 3 automakers are lining up at the government trough seeking $50 billion in loans so they can retool their aging factories to build more fuel efficient vehicles. I have to agree whole heartedly with the author, Steven Pearlstein that:

"In fact, it's hard to imagine an industry less deserving of government help. Here are three companies that for decades failed to produce cars that were well designed, well produced and exciting to look at, that fought tooth and nail against efforts to require greater fuel efficiency and, until recently, did too little to bring wages, benefits and retiree costs in line with competitive realities. And while they whined for years that it was unfair trade that put them at a disadvantage, Toyota, Honda, BMW and other foreign transplants came along to prove that it is possible to produce quality cars at affordable prices in U.S. factories while offering decent wages and benefits. "

Yes, and add the fact that for years Detroit has been brainwashing the American public, that by wrapping ourselves in the tons of steel and plastic of oversized SUVs which guzzle gas like a drunk on Saturday night while spewing carbon dioxide worse than what has been coming out of the political conventions, was the only responsible way to keep our families safe in the event of a crash on our ever increasing road-raged highways. SUVs were higher profit than cars, in part because they didn't have to conform to the car mileage and safety standards. Detroit militarized the streets by selling the illusion of ourselves as road warriors in leather seated, supercharged, go anywhere, never out of touch, suburban editions of Sherman Tanks. Never mind, due to their high center of gravity, they tended to roll over on their backs like an upset turtle. Or that the intimidation factors on our highways increased dramatically. Then again, you just might take that off-road trip someday in the ever diminishing wilds where you could actually use that 4 wheel drive. But I digress.

The Big 3 have made alot of bad decisions over the years, they ignored the storm clouds gathering on the horizon, and the head guys lined their pockets with green while screwing up royally. If they want to play like the big boys then perhaps they should have to sit in their own poop. I was against bailing out Chrylser many years ago, and I am against bailing out the Big 3 now. In this era of free trade, multinationalistic corporations, and free reigned capitalism they should reap what they sow. Too big to fail? Only in an election year.

By the way, another digression if I may. Back in the 1980's I did the "Buy American" thing. I purchased a K-car. It was the biggest piece of junk that I ever bought, next to the Chevrolet Vega that started burning oil at 20,000 miles. But those Toyotas that I have owned, well the Big 3 still can't compare in price, quality and dependabilty.

The Big 3 are running to Washington for corporate welfare. Aren't they just as deserving as those slick bankers on Wall Street who started a lot of this recent financial mess? This is where I have trouble with free-reign Capitalism. The big muckies cry for no regulation, get to make absurd salaries and benefits by running good companies into the ground while causing the economy a major headache in the process. But when the going gets tough they run to Big Daddy with hands outstretched. Grownups take responsibility for their actions and live with the consequences of their actions. Grow up Big 3, grow up.