"If ye love wealth greater than liberty, the tranquility of servitude greater than the animating contest for freedom, go home from us in peace. We seek not your counsel, nor your arms. Crouch down and lick the hand that feeds you; May your chains set lightly upon you, and may posterity forget that ye were our countrymen." - Samuel Adams
Friday, May 15, 2009
Chrysler & General Motors
Now that Uncle Barack has basically taken control of these two auto makers, I assume everyone figures all is well and they will recover in fine fashion. I mean the government knows best, right. Well, let's take a look. Obama campaigned on a promise to make the car companies produce small fuel efficient cars. That's exactly the kind of cars the majority of Americans DON'T want. He also campaigned on a promise to save and create American jobs. Now Chrysler and GM are currently planning on closing close to 2000 dealerships combined. At an average of 50 jobs per dealership, that's 100,000 potential lost jobs. I realize that a lot of those will remain open in some way, shape, or form, but there will be job loses, and without the backing of the UAW, I'm sure there will be a significant lose of benefits and pay. Obama is off to a good start! Now, the majority of Americans have not bought into the global warming scam, so they are still purchasing SUV's and Pickups for lots of reasons including safety, and passenger and cargo capacity. Do you think the Government controlled car companies are going to be producing those? Not a chance, they'll be making cars like the Smart car and the Chevy Volt. For the most part, these are going to sit on dealers lots while Americans go to companies producing what they want. Companies like Toyota, Nissan, Mazda, Honda, Hyundai, Volkswagen etc. Chrysler and GM will wither on the vine and eventually just die out and it won't take long, mainly because once again the government got involved in the private sector. As if building cars nobody wants isn't enough, Obama has said that Chrysler has to cut it's advertising budget in half. That's really going to help sell cars, isn't it! Now some people are going to tell me that last summer, when gas went over $4.00 a gallon, the demand for pickups and SUV's declined drastically. Yep, they did. Hey, there's an out for Obama, he can have Congress raise the gas tax by about $2.50 a gallon to make the Smart cars and the Chevy Volt's more popular. Think they haven't thought of that? When are we going to say, "ENOUGH".
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