Should the Big Three automakers receive bailout money?
Why or why not.
- kevinLv 61 decade agoFavorite Answer
No. Because the unions are what is causing the biggest current problem. American cars cost more in labor to produce than any other manufactures. This should mean that american cars cost more for the same product. It should also mean that American cars are the highest quality. And while they have improved to the point of being as good as the imports, at these labor costs there should be absolutely no question.
I really think that American manufactures are building the best cars the ever have, but the business end of the business is broken, and one good way to fix that is to force them to be competitive, to a degree with there costs of operating. And while we won't ever be able to compete with the korean labor rates, we can put out a quality vehicle for a reasonable wage, just move the companies to somewhere where people like me would be happy to start at 12 and work up to 25, not start at 35 and work up to 70.
The American consumer had a huge hand in this as well though. If there was an arguement for the bailouts it would be this, Americans could not buy enough 8 passenger SUVs (for three person familys)until the gas prices got so high they could not afford to move them from their driveways.
If i was GM i would have done the same thing, build them as fast as i could. Very few were buying the small and midsize cars, The wanted their Excusions and Aves. I just hope that i would have invested better all the money from those sales, so when that wall came, it would have been a lot shorter.
- 1 decade ago
Two of them already have. No they shouldn't because they will go bankrupt anyway. Waste of our money. They should have went bankrupt from the beginning and it would have worked itself out sooner.