tag:blogger.com,1999:blog-17375431.post4842900527011157952..comments2008-11-28T13:51:48.133-07:00Rahul Soodhttps://profiles.google.com/113741407720209727435noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-17375431.post-7545680779712200852008-11-28T13:41:00.000-07:002008-11-28T13:41:00.000-07:00Hi, Rahul!<BR/><BR/>Are you aware that there was an auto maker in the United States called American Motors? They were pushed to into the dustbin of history by the big three U.S. auto companies. American Motors' remnants was purchased by one of the big three. If you review the history of the U.S. based auto industry, I do not think you will find that unions were the main issue. However, you will certainly find that sleazy practices of the big three U.S. auto makers were a problem. Lack of domestic competition in the U.S. is the problem. U.S. government regulations that favored the large auto makers. Corrupt relations with politicians and union leaders did not help.<BR/><BR/>Centrally planned economies stifle innovation and progress. It is the lack of the competition of an open market of ideas, and not having to deal with the consequences of bad decisions which limit the ability of central planning over long periods of time. If the planners know that they will not be called to account because they have a captive populous (or market) then they have no incentive to show reasonable care and deference to the true stakeholders. Um, sounds like the corporate executives that have run companies into the ground like Enron... It does not matter whether that central planning takes place in a political bureaucracy or a corporate board room. I charge the big three with a defacto tri-opoly. The U.S. auto industry is in trouble because of the local monopolist behavior of 'the three companies who must not be named' in the U.S. auto market against many smaller past U.S. auto companies in the early through middle 20th century. The chickens are coming home to roost. What goes around, really goes around.<BR/><BR/>Why is it that there are countries with much smaller populations compared to the U.S., and no natural resources to speak of, yet they have as many are more auto makers than the United States? Why is it that those foreign auto makers are more successful in competitive markets around the world?<BR/><BR/>Ford, General Motors, and Chrysler should be allowed to fail. Their failure would be a warning to all that everyone will reap what they have sewn.<BR/><BR/>Just as in the tech industry, new start ups would emerge from the ashes of Chrysler, Ford, and GM. Some would succeed, and some would fail. In the tech industry Intel and AMD are examples of start ups that came out of a floundering Fairchild. If the government had stepped in and prevented the all but collapse of Fairchild, it is possible that the micro computer revolution would not have happened. That process of paying for bad decisions can make for better entrepreneurs and leaders.<BR/><BR/>The old U.S. auto makers are not critical to the U.S. military defense establishment.<BR/><BR/>It seems some Americans are against welfare when it is given to the poor, but, love welfare for the republican leaning billionaire set.<BR/><BR/>Just some thoughts.<BR/><BR/>Best regards,<BR/>It was once called the land of the Free.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-17375431.post-40799950373351908422008-11-27T08:01:00.000-07:002008-11-27T08:01:00.000-07:00Haha!<BR/>Unions are "complex." Nicely tip-toed.big redhttp://www.blogger.com/profile/17406372928700644516noreply@blogger.comtag:blogger.com,1999:blog-17375431.post-2388175491500758422008-11-27T00:45:00.000-07:002008-11-27T00:45:00.000-07:00The high labour costs are a major contributor. One thing I would like to know - what to the big 3 pay their paint booth people compared to what Voodoo pays. Whatever the case is I am sure the Voodo people are much more qualified.quinsterhttp://www.blogger.com/profile/04210500597962962880noreply@blogger.comtag:blogger.com,1999:blog-17375431.post-32665810968952181482008-11-26T19:01:00.000-07:002008-11-26T19:01:00.000-07:00Yeah you would think under a capitalist economy they would let them go...<BR/><BR/>Like with the AIG thing, I think without that, well we wouldn't even have an economy now because loans are what everyone counts on. But cars...not really going to effect us too much.LOLDSFANhttp://trilplententenetwork.comnoreply@blogger.com