This picture best parables the situation of this country right now. We have dangerously propped up every phase of our country's economy. The housing market, the banks and now the automakers want a piece of the pie. They represent the last frontier of this being an industrialized society. The big three automakers had the capacity to build 15 million cars, but only 10 million units were sold. No business can survive at that rate without government subsidies or a lot of optimistic investors. It's like pouring water in a bucket with a hole in the bottom. You can only fill it temporarily.
I applaud those Republican officials who are protesting the proposed $700 billion bailout. They are in support of the country taking their blows and moving to the next stage of the process instead of the congress bailing them out . Which is eventually what we as a nation are going to have to do anyway. Tighten our belts and back away from the entitlement table. Just because we are Americans that doesn't mean we are automatically supposed to get a break. We can't expect to keep living on a prayer. Props eventually play out.
Part of the problem with the auto industry is due to the wages.
ReplyDeleteBecaus of the Union the average wage for UAW workers with benefits comes out to around $78.00 an hr. Compare that to the national average of about $48 and you can see big problems. From what I have read the majority of the bailout money the big three want would go for medical benefits.
The UAW Presdient has already said they will not make any concessions. He is counting on the bailout money so he refuses to deal.
This was just some of the things I have read, I'm sure theres a couple more sides to the story depending on who tells it.
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