There is no incentive. A top Down, "Trickle down" approach is what is said to be the best by the right. Hell, Dick Cheney, the man behind the thrown stated
" Ronald Reagen proved deficit spending works" And oh, how we have fallen for that one, eh?

With leadership like that, well, no one has a role model or anyone to answer to. So no, there are no incentives to have a sound financial plan if you are too big. A small company, yes, the large ones seem to think they can follow the example of the US government and pursue deficit spending for all eternity. Well, eternity just caught up with them.

 

Good article MWG2.

If the big 3 go under, it will represent almost 2% of the entire US workforce! That is not good.

I wish the Union would be more receptive to looking at concessions...
We can all debate who is at fault, but regardless, it is not a good thing.

 

WOW, lots of interesting reading here. Lot's of bases covered. Personally, I think a lot of the problems start with the UAW. But definatly does not end there. The big 3 spend too many years investing in trucks and SUV's. They were the big seller. The overseas market fell right behind. But they still invested in the small car market as well. Yes there are some great cars from the the big 3, but drive by most car lots, who has what lined up along the street to see? And the cars are usually parked in the back or side lots. I have talked with numerous people in the auto industy, my job kinda requires it. They state they don't make any money on a small car, they money is in the trucks. Well, maybe you don't make as much, but if you have an inventory of 200 trucks on the lot, looks to me like you not making it either. Civic's and Corolla still sell. Perception is gonna take it time to go away. What happened 20 years ago still plagues the big 3. But having a lot full of trucks does'nt help either in my opinion.

Someone mentioned the "free trade" agreement. I think that needs to be "reworked" to become a "fair trade" agreement. We give too many breaks to foreign companies and not enough to our own. I think we should charge a country the same "rate" they charge us to sell our products there. I remember back in the mid 90's I was stationed in Korea. A co-worker was lucky enough to bring his Taurus over there and found out that the same car sold for $40k US there (I never verified that). Basically doubled what they sold for here. So why do we sell a Sonata here so cheap? Tax them they way they tax us. Granted, the Sonata is actually built in the US and the HHR we drive is built in Mexico. But the taxes should be based on the home base of the company. Make it "fair" across the board to everything, not just automotive. Then maybe would acutally start getting more businesses here in the US. But that is probably just "crazy" talk......

I mentioned my job works with the auto industry. Well I lease vehicles to federal and state agencies. We buy cars/trucks/tractors/buses every year. I just finished my 2009 acquisition cycle and I just dumped almost 4.8 million back in the US automakers pockets. That was just my customers. Does not count the rest of my coworkers across the country. So I think I help a little..... I purchases 222 vehicles this round. Even 3 Durango's from the plant that is closing in mid December. Blue Bird in south GA got the most as I had to buy 9 buses.....

Just my .02........

(Someone mentioned the GA Senate race. I can't wait for that to end, both Saxby and Martin do nothing to promote their own campain except but to tell you what the other did in the past, and looks like the same person wrote both ads...)

 

Yes Solman98, quite the thread.
The only bottom line is, if the the loans aren't given to the Big 3 then Toyota, Honda, Big 3 and most other manufacturing companies along with Ma and Pa businesses and world wide economies and most likely everything is going to be kicked in the "A$$". It will affect the whole planet.
A No Win situation unless the loans are given to them. Tax payers will pay more,major job losses will occur and economies "will" collapse into a depression. Hang on to your hat.

 

Wow, you know it's bad when the Canadians are worried about our economy

I'm just kidding Cokeybill

I know you guys are supportive and that your economy is greatly infuenced by ours.

 

As Sarah would say,"You Betcha"...

 

The truth is they want to prevent the American Snowbacks from running across frozen lake Erie and taking all their jobs.

 

Some may take a leap off of Niagara Falls if things get too bad...

 

http://dealersedge.com/ME2/dirmod.as...70BB8939F50D5A

 

Right on the nose...