[article] Clunkers and the Trailer Trash

No one is going to accuse BO (Bailout Obama) of being smart, ditto congress and the senate for not pulling out the horns. All BO knows how to do is talk a lot and debt-bailout spend.

September is bound to be a bad month for auto sales. BO debt-spending for clunkers might have just broght in a few would be buyers in September into August, and September buyers are not going to pay $5000 more because it is September.

Which means Government Motors will be out of cash by December.

I wonder how many GM & Chrylsers got traded in on some other brand. Bet the brand demographics shift is bad news for GM.

Countries outside the US don't play by the same (idiotic) rules of the American 'free-market'. That's the problem. When America learns to restrict foreign imports, as other countries do, "Made in America" (..by Americans ..using American resources ..etc) will enable Detroit to thrive once again. Some will argue that exports are key, but that is a fallacy - it might be meaningful for government - but not for home-grown industries serving home-grown customers. Some sort of protectionism is the only way to get out of this mess.

Paul

Protection from government interference would help considerably.

>

Protectionism will not work. Lets say we closed our borders to imported autos and parts. The next thing is the prices of autos would then double or triple maybe more.

Then far fewer people would buy them, fewer would be built and fewer would drive. Driving would become so costly, a large segment of the population will drive a whole lot less and maybe not even drive at all. The reduction in driving, means less government revenue as it is a major source of such. They will even raise state/provincial taxes just to compensate for the loss of revenue.

All that is left is a grossly inefficient Marxist and failing industry, pretty much what you have today minus the protectionism. Protectionism isn't going to fix Detroit auto, good honest no bullshit management will. Inbreed, dysfunctional and greedy corrupt corporations like GM sucking on the taxpayers for their existence just makes us all poorer and contributes to the recession/depression. And for many, the reduction in monthly net income for bailout corruption will reduce what we can spend on autos in the future.

Protectionism and bailouts are not the answer. The industry needs to quick talking bullshit, and earnestly become efficient and responsive to their customers needs. GM is part of the problem, not the solution. GM is just another parasite on the taxpayers ass at this point.

So bang on!!! Nifty way to put it.

Too bad DC, Ottawa, CAW/UAW politics no longer believe in freedom of choice and individual prosperity. Which is really what this recession/depression is. Too much parasitical baggage on the producers in these countries to foster a health economy. It is also why this recession is far from over, it may just be beginning. It may take decades for recovery. In 1982 it took 8 years for many businesses just to recover. And by most accounts, this time is at least as bad as 1982.

Too bad we could not opt out of the corporate welfare and frivolous debt-spending portions of our income taxes. It is clear the people no longer control government as few really support what is going on. We are indeed enslaving ourselves and our offspring to a lifetime of taxation enslavement for corruption.

I agree that closing our borders would be problematic, bit imo a partial closing would be a good thing - like Japan, which restricts foreign imports of motor vehicles somewhat - if only to send a msg to Japan, and others, to create "fair trade".

Agreed.

Japan does not restrict imports, their people don't want to buy it. Huge difference.

Lets hope the message sinks in, the sooner it sinks in the less it will cost us. But even if GM quality became better, I still will not patronize them for taxing people for corporations. It is unforgivable in my books.

quote -- In the last 20 years, they explained, the governments of Japan, Germany, France, Italy' and the United Kingdom all inter- vened at critical stages to S@ve their national automobile pro- ducers from seeming destruction.3 Italy, for example, has limited imports of Japanese autos to 2,000 units annually. France re- stricts Japanese imports to 3 percent of its domestic market, while Great Britain allows no more than 10 percent of total automobile sales to go to the Japanese.4 Furthermore, over thirty countries now impose domestic content requirements on their automobile industries--among them Argentina, Brazil, Mexico, and South Korea.5

-- end quote --

If Italy, France and Britain can do it - so can we.

So do we stop importing those Canadian built cars? Do we kick out all the assembly plants of non US companies and put those workers on the unemployment roles?

Whatever the answer is, it certainly won't be simple.

I'm in Canada !

Of course it isn't simple, but why not at least make it fair? The Japanese barley let any American car into the country. Why not make it even? For every car imported from Japan to America, they must take one of ours. Same with all countries. What is wrong with that?

And you should spend your next vacation in the UK, and shop for a car including VAT. Prices are 30 to 70% more over there because of it. So a much smaller percentage of the population can afford one. And I mean noticably smaller. Far fewer cars per capita.

Which is why British Rail and public transit is so well developed, millions of their middle class can't afford one and are occasional renters when they need them. That doesn't work in 95% of North America.

I got a kick out of Canadian built cars when I was living in the USA. We could get $5000 to $8000 less after exchange by buying Canadian made in the US. While the GM Regal was a mistake, it was a fraction of the cost in the US. Bombardier, Honda and others pull this BS too.

That is another reason why this Canuck is done buying Canadian, out own people scew us. And yes, I have imported two vehicles to date and plan on my next one to be a sale in the US.

It is bu11sh1t protectionism. There would be a shortage of Japanese and a glut of worthless GM rust with higher costs to the consumer.

Besides, half you clowns don't know most "Japanese" cars are made in Canada and the US and view them as imports, LOL. Union ignorance talk.

First, the population difference. Next, what do we ship them? Fords from Mexico? Buicks from Canada? Hyundai or BMW from the US?

Do you honestly think there is a difference between USA manufacturing and Canadian? Both countries have been partners in auto manufacturing since the beginning. Perhaps if the trade laws were more fair, Ford wouldn't need to build vehicles in Mexico.

Depends on the degree of protectionism you want. Some local tree tappers complain about cheap maple syrup coming from Canada. But you did not answer the other questions.

Although I originally came from Britain, I know very little about this. That's why I have emailed your comments to an old friend in Britain, to see what he has to say. Will let you know.

We ship them wood, beef, barley, coal, ore, oil and other things they need. Much of what is used to build the cars.

The whole idea of trade is to trade for something you don't have. Otherwise trading is mute. Something a GM union brain is too small to understand.

Why would I trade a Japanese Toyota in Japan for a foreign GM is stupid. Toyota has a great reputation where as GM should have sent the vehicle to Miller Brewing for cans.

You are touting typical 2 pack econominics.