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Friday, November 21, 2008
Rich Tucker :: Townhall.com Columnist
Driven to Destruction
by Rich Tucker
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Will the Dems' health care Christmas Present to America be an improvement or detriment to our health care system?


And while that all may sound like a joke, the second part, at least, isn’t. Some lawmakers recently hoped to bail out Detroit automakers in return for partial ownership in the companies. According to an Associated Press story on Nov. 12, “Congressional Democrats are pushing legislation to send $25 billion in emergency loans to the beleaguered auto industry in exchange for a government ownership stake in the Big Three car companies.”

Washington wouldn’t be the first capitol to pour taxpayer capital into the automotive business. In the 1970s and ’80s, the British government took an ownership stake in British Leyland. Before all was said and done, the government had spent $16.5 billion in inflation-adjusted money on the company, which ended up folding, anyway.

“I’m not telling the U.S. what to do, but the lessons of the British experience is don’t throw good money after bad,” Leon Brittan, an aide to former Prime Minister Margaret Thatcher, told The New York Times. “British Leyland carried on for a few more years, but they’re not there now, are they?”

Under government ownership, British cars were notoriously bad. We could expect the same thing here, once members of Congress are acting as automotive engineers. If you thought federal regulations hampered car makers, wait until the government’s in the room during the design process.

Detroit’s automakers have an opportunity, not a crisis. They should declare bankruptcy, rewrite unaffordable union contracts, and design cars that people want to buy. If they were smart, they’d especially focus on the emerging markets of China and India, where billions of people are going to want to buy cars in the decades ahead.

But there’s no need for a bailout. Government-owned roads are inefficient enough; there’s no reason to try to clog them up with government-built cars.

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About The Author

Rich Tucker is an editor in Washington D.C. and a columnist for Townhall.com.

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America is suffering
America is suffering unlawful deception from the Alinsky group.
Group u$urp$ power on January 20th—the constitution violated.
The United States Supreme Court alone can relieve this outrage.

example: Bogus Selective Service System FOIA Registration?
http://www.debbieschlussel.com/archives/2008/11/exclusive_d id_n.html

Vega's
The Vega was a nice LOOKING little car...Other than that it was junk. A rattling, smoking little turd on wheels. The pinto and the Gremlin were much the same. Why do I see Corolla's, Corona's and Old Datsun's from the seventies still on the roads, (though not in large numbers these days), but I almost never ever see a Vega, and was SHOCKED to park next to a Pinto, and have not seen a Gremlin in several years? They were JUNK! That is why they failed. People have been buying small cars from import companies for all these years and still going strong. Detroit trys to tell us what we want, while Toyota, Nissan, and Honda for example try to find out what we want and build it. I used to be a Chevy fan. That was before my first Toyota. Now I would have to see a change of attitude, and action in GM before even looking at them. The only vehicle they have I like is the Colorado, which was designed by...anybody?...Anybody? Isuzu. Isuzu's version of that is still better built.

Detroit is waking up to the facts that:
1. They suck. They could do better but won't for various reasons, mostly union driven.
2. The UAW is their worst enemy.
3. Ths SUV was not a long term solution which could sustain sales for the long haul.
4. They have woefully and pitifully mismanaged their business

Let the go through Bankruptcy restructuring, then try again with less overhead and new leadership. Then maybe they can win our confidence back.
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