Home ScienceSocial SciencesEconomics Subscribe to RSS
 

Why Do So Many People Think That Bailing Out The Auto Industry Is So Bad?

I have heard so many people complain about how bailing out GM, Chrysler and Ford from their financial problems. Yes, I do see that there are problems with the operations of these companies, however think about everything that revolves around them. Think.... If they go under, that gets rid of the need of parts from Delphi and many other manufacturers and the 1000000s of jobs that they provide.

Answer Question

4 Answers - Sort by: Date | Rating

    It is one heck of a mess.  If you give a few hundred billion, is that going to solve the problems?  It is certainly not going to make people in US buy cars and that is the only thing that will help them.
    Bu the ramifications of them going down is unbelievable.  Small towns around plant locations will become ghost towns and that is the tip of the iceberg.
    Isn't the real problem--imports (I love my Toyota)?  Should we have had tariffs and duties to make American cars more competitive?  Should we do it now?
    We are buying tons and tons of goods from Japan, China, Korea, goods made with labor costing a fraction of American labor.  Now, Japan and China are loaning us money so we can bail out businesses suffering because we are buying everything from Japan and China!!
    I think the import bird is coming in to roost.
    2 0

    Freedom1st 

    answered 1 year ago

      I would argue that the government should step in and assist the companies, but only is it means that the companies will not cut jobs for American workers.  Our government gives millions and millions of dollars in aid to other countries, and I believe it is high time that they turn their sights on their own populace.

      I do not believe, however, that the govt. Should provide any more help than is absolutely necessary.  And while all of this is taking place, auto makers should be held accountable by the govt. For increasing employment opportunities for American workers.  

      I, personally, care very little about improving profits for auto manufacturers; however, I believe the creation of jobs is necessary.
      1 0

      Dogdeeva 

      answered 1 year ago

        Why should i (all taxpayers and don't tell me they aren't going to raise taxes to repay the billions/trillion)send money to the auto industry they never send me money for nothing....they never give me a break on a car when i by it...for all i care they can all go out of business permanently ...they have raised prices more and more (we use to be able to buy  a car/truck for what we lease a vehicle for now)and expect the everyday working man/women to be able to buy their vehicles....the workers for the auto industry also have full benefits when i could not afford to have health insurance or dental unless i paid for it out of my own pocket....so pardon me if i don't feel like paying for their greed so they can bilk the U.S. Out of 100s of millions or billions of dollars so that their management and investors can slowly drain it off into their pockets again....talk about paying for something we will never see a return on......and thinking about all the times i ve watched salesmen scam buyers out of their money on trade in values/and prices for maintenence on vehicles they supposedly have warranties on maybe this is their return on their business practices over the last 40 years.....now they want everyone to help bail them out OH! POlease! Gimme a break as john stossel says....nobody ever has ever bailed me out from any of their companies/dealerships/parts stores...talk about robbing the poor to give to the rich doesn't that sound like rewarding someone for lining their pockets while running the companies into the ground.....or paying the rats for jumping ship and leaving a mess for someone else to clean up...and as every man that use to work a labor job in america look at all the jobs they have shipped out of the united states to other countries putting other companies out of business over the years.....and they want the families of the U.S. To foot the bill  while they still ship jobs overseas and out of country....sounds like they should not of took a dump on the country they started in and on the people that made them rich over the years/decades past half century.....and if they think they can go out of country and still sell  in the U.S.  As one of the big three then the United  States should treat them the same as a out of country seller and tax them to death like they are going to cause the taxpayers of the U.S. To be in the future by bailing them out......sorry but this is sickening to me to think the rich get richer even when they run a company into the ground and then expect to be forgiven all debt and then get paid for it...in what world is this even remotely right.....bluuaaaaaaahhhhh! This is me throwing up a lung.....you can have it deleted if you want sorry for blurting out so much but who is running the asylum(country) here to think this is the right idea to fix it...........................i think i will stop now i have said waaaaaaaaaayyyyy tooooooooo much :) later whew! That helped thanks lol
        1 0

        Nomad1 

        answered 1 year ago

        The purpose of a government "bail out" is not so much for the benefit of the company, even less for the management. It is to help ease the hardship on the employees who may otherwise find themselves without a job suddenly. And it helps to stabilize the economy of the community so that it will not collapse as a result of the mass unemployment. Some people just assume that a govt. Bailout is a simple hand over of taxpayers' hard-earned cash for the benefit of "fat-cat" company owners, which is not the case. It is a loan, risky as it may seem, for the benefit of society.
        Many companies have regained their footing, paid back that loan with interest to the government as a result. Chrysler is one such example. Mexico, although not a company, is another example often cited as a success story.
        1 0

        Dext 

        answered 1 year ago

        Answer Question - Answers are editable for 5 min.

        If you do not Sign-in or Register your answers will be anonymous,

        your answers may also be checked before going online.

        More

        More

           
           

          Ask a Question via Twitter

          Send a question to @askblurtit and we will publish it online and send you a reply everytime you receive an answer.

          Blurtit Store

          Get T-shirts, hoodies, caps and more at the Blurtit store

          Blurtit International