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Friday, November 21, 2008
Rich Tucker :: Townhall.com Columnist
Driven to Destruction
by Rich Tucker
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Was the Copenhagen Global Warming Summit Walk-Out a Win for the U.S.?


Conservatives have always known how to solve our country’s traffic problem, and it’s surprisingly simple.

The problem is too many cars (the U.S. has more licensed automobiles than licensed drivers) rolling down too few miles of well-paved roads. That’s mostly because private industry makes cars, and they’re good. Fun. Exciting. Useful. Meanwhile, governments build the roads. And they’re inadequate and poorly maintained. No surprises there.

So the solution would be a two-parter. First, privatize the roads, allowing for-profit companies to own, build and maintain them. Just think what happens at a supermarket when too many customers are waiting to check out: The store (privately owned and seeking maximum profits) opens more check-out lanes. Elsewise, potential customers might drop their goods and leave the store.

The same thing would happen on privately owned roads. Companies would build over-capacity into every road, so that at peak times there would be enough lanes. They’d be charging people to drive on the roads, of course, but people would be willing to pay because traffic would move so much more smoothly.

Ah, but the second part of the solution is even more ingenious. Why not have governments build the cars?

A car built by government fiat would have all the innovativeness of anything designed by a bureaucracy. That is to say: none. Lawmakers would insist products made in their districts be included on every car, so government-autos (let’s call them G-mobiles) would be weighted down with a lot of silly gadgets nobody wants anyway.

G-mobiles would be light (to save on fuel) and uncomfortable (no need to focus on comfort when you’re the only game in town). They’d be poorly made, and would break down frequently. And that’s a net plus, of course; since they’d generally be in the shop, these cars would be clogging up the roads, and there’d be plenty of highway space for the few cars that were running at any given moment.

Traffic problem solved.

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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Mr. Tucker
Oh pleeeease. You are way too logical!

Beautifully written
Very well done, thank you!

Good piece
Thank you for a good, concise and brief article. Your appreciation for Governmental success is right on.

Only two really successful gov't
programs have ever been produced--the Manhattan Project during WW II (and that's because Cong. didn't understand what it was about) and the race to put a man on the moon, where again, science and technology were beyond the tinkering of many pols.

Wherever they can get their hands in, pols. are like magicians who are expert at misdirection and producing an effect that was always an illusions to begin.

What a dumb column
This column characterizes the Detroit mess as a public/private battle. Foreign auto makers aren't in the same mess US automakers are.

For decades, liberals tried to increase fuel efficiency standards and were stopped by conservatives. Out of short-sighted greed, the US car manufacturers insisted on building behemoths. (Conservative politicians are finally on board with that goal.) Guess which kind of cars sell now?

For decades liberals have tried to develop universal health care to bring per capita health costs to the levels enjoyed but the car manufacturers' foreign competitors. Again we were blocked by conservatives.

Liberals are discussing assistance to the auto companies only to avoid more financial calamity. Conservatives have put a bullet through our country's leg and are complaining that liberals are pondering the unpleasant prospect of an amputation.

It's so wonderful discussing these matters now that conservatism is mostly relegated to an observer status.

UAW IS THE ANSWER
PUT UP TIME UAW IS THE PERFECT ENTITY TO BAILOUT THE AUTO INDUSTRY, THEY HAVE A DIRECT STAKE IN THE SURVIVAL OF THE AUTO INDUSTRY.THIS WOULD RELEIVE THE UNITED STATE OF THE BURDEN OF ANOTHER BAILOUT AND GIVE OTHERS THE OPPORTUNITY TO MAKE DEALS WITH THEIR UNION PARTNERS.FOR ANY REASON IF THE PARTNERSHIP REQUIRE A BAILOUT, OR CASH INFUSION THE UNITED STATES WOULD IMMEDIATELY BECOME THE LARGEST SHAREHOLDER APPOINTING A CHIEF EXECUTIVE OFFICER OF THE AUTO INDUSTRY, GIVEN THE POSITION TO TRIM FAT AND RECREATE A VIABLE INDEPENDENT ENTITY AND ALL UNION CONTRACTS WOULD BE VOID.

Surely you jest
Privatize the roads. Imagine what that would look like. Each company setting up their own road tolls. Each company hiring their own security. Just how fast do you think traffic would flow. It would only add to road rage. Who would monitor these companies if they wanted to raise the rates to travel these privatize roads as much as they wanted too. All they would have to do is what the oil companies did. Give a different excuse each week for raising the price at the pumps. If the auto companies are in trouble make a product the people want and not the special interest groups. Sometimes you just have to change your game plans to get a winner. If we bailout these auto companies, we pick up the tab for the union contracts that sent these companies into the red. Bankruptcy is the answer, not bailout. Bailout is another way of payback to the unions.

The power of theory over reality
It is funny the way Tucker assumes that his theory must work without any concern for what has actually happened. The reality is that the incredible Eisenhower Interstate System was one of the great factors in driving growth in this country since the '50s. We have the best trucking system in the world because the system of roads was built according to a unifying plan.

The idea that we could have achieved the same thing through private roads borders on the comical. In most areas leaving such decisions to the market is a good idea because the good ideas can coexist with the bad. But can one imagine what the country would look like if the desirable roads existed side by side with the failed road ideas. (Or for that matter imagine if we had developed the system entirely with toll roads, how inefficient. Now it might not be as bad with the EZ passes, but does anyone really want a record existing of everywhere they ever drive?)

Obviously it would be a bad idea to have the government micromanaging the auto industry. Unlike the roads, it is a system in which the failures can coexist with the successes. But that isn't what anyone is proposing so while Tucker's discussion of that half is not as bad as the other half, it is still pretty weak.

Renny
You forgot about Ronny's pet projects.

A year ago, I read “An American Life, Ronald Reagan – the autobiography.” I thought there would be no better way to learn about small government, free market conservatism than from the Maestro himself.

I was shocked to read this on pages 344 and 345.

“Through it all, the farmers who suffered most were those who had been encouraged to overproduce by the billions of dollars available in federal subsidies.”

and,

“In the farm crisis of the mid-eighties we gave farmers more billions than any administration in history. Frankly, I didn’t relish giving so much of the taxpayers’ money away, especially when we were battling to bring down the deficit. But farmers were facing a real emergency, and since government had produced many of their problems, I believed it had an obligation to help bail out the victims, then to work to return farming to the free market.”

Wow, looks like we are still BAILING out the VICTIMS 25 years later. I wish the government would treat unemployed software engineers, like me, with this kind of conservatism. I could have collected a large unemployment check every month for five years and when my job skills had deteriorated, I could be declared a “victim” and President Reagan would mandate an even bigger check, a so-called “bailout” from the federal government, perhaps several hundred grand.

And now, in the year 2008, with farm subsidy handouts and ethanol mandates approaching $35 billion a year, we are well on the way to a free market in agriculture or the FINANCIAL SERVICES industry? The bailouts are only getting bigger.

Govt Micromanaging
I usually don't agree with Lon on anything, but I fully support his stance on the Government Micromanaging the Auto Industry.
In fact if the US Government became engaged in the Brewery Business a six-pack would almost surely Cost $20..
I believe President Ford commented on this same thing long ago!!

Demand Obama PROVE US born citizenship
There are 2 petitions worthy of signature: please sign each one below:

1) PETITION #1 of 2 (RallyCongress.com)
http://www.rallycongress.com/constitutional-qualification/1 244/

2) PETITION #2 of 2 (World Net Daily)
http://www.wnd.com/index.php?fa=PAGE.view&pageId=81550

YES WE CAN Stop the Obama Constitutional Crisis - Sign the Petition - SIGN THE PETITION TO FORCE OBAMA TO PROVE HE IS A U.S. NATURAL BORN CITIZEN -STOP THE OBAMA CONSTITUTIONAL CRISIS

The Supreme Court...
...will have the final say on who will be our next president,as I have been saying for a couple of months now.Justice Souter has given him until 1 Dec to provide him with documention of his proof of citizenship.Souther will rule by 5December on whether it will go to the full court or not.If he decides not to send it to the full court,Obama is in and the Electoral College will vote on 15 December.This is the 22d of November,and as the Rabbi said "It won't be long now"!

Interstates
Lon,
Look at the bigger picture. The Interstate system was government intervention in transportation. Yes, we have good roads. But we have no more trains. Rail is a much more efficient way of transporting goods and people. Union rules and government intervention destroyed that industry.

Interstates
The Interstate Highway system was created for National Security reasons. Our country needed a mode of transportation that would allow many manufacturing companies to produce and transport military support to designated areas for deployment. If not for that, we might still be using dirt roads and two lane asphalt highways.
Private enterprises could never produce a viable highway system as they don't have the power to impose confiscatory practices over land owners that happened to own land where a highway was planned to traverse. Can you imagine the cost of a simple highway if a company had to negotiate an owners land value in real market terms? Think about that and realize that people today are buying properties speculating the value increase as it is determined to be a possible "Right of way" to a new highway...

Tucker
Are you living in the dark, don't you read anything? You say if the auto companies were smart they would invest in China and India and do business there?! What do you think is keeping GM going if not there investments in the developing countries? GM will sell over 1 million vehicles in China in 2008! The problem with the US auto industry is the US Government and US media. We love to destroy our indigeneous companies and praise foreigners. This is done through taxation, regulation, union contracts, and poor media coverage forced on our home grown companies. When this all stops we will succeed, but not until then!

Rail, government
Rail is not effiecient. If it was, people would use it. In this economic high fuel pricing shows so. When fuel prices went up. Many companies went to rail. Slow, bulky, but cheap. With high fuel prices, rail ship to wharehouses in regional areas. Then distributed. The cheaper rail paid for wharehouse.

When fuel cheap go direct with truck. Economic capitalism working.

Rail still needs to get government subsidy out of it, also.

Every company I have seen. Unless a one man show comes in an cleans house. The company does not survive. Even then it often comes out looking much different, but does exist strong with what is left.

So to the big 3, fire every manager and union and, workers who preferr pay scale over existence. Then build a strong company.

The last effort of owning five jets and getting rid of two. Well, that is the problem.

Government ownership of business
It will be almost impossible for the Dems to allow the auto companies to fall into bankruptcy, thereby putting unions in jeopardy. After all, the unions bought the Dems, including the president, with their millions in campaign contributions this election season (even more than in the past). They're expecting payback NOW.

The Dems have been trying to insinuate themselves into ownership of American corporations for some time. Remember Bill Clinton's brilliant idea for saving Social Security? The GOVERNMENT should invest our SS funds in the stock market, he suggested. No, no, individuals could not invest their OWN SS contributions (too risky; individuals know nothing about investing), the government must do it. Okay, that failed to catch on.

Now, however, with corporations in trouble all over the country, a government bailout, including ownership of, e.g., financial institutions, is the answer. Slowly, slowly, but surely, Nancy Pelosi, Harry Reid, Barney Frank, and the rest of them, can get control of our corporations. All that silly, too-slow regulatory control is just inefficient; direct ownership by people who have absolutely NO idea what they're doing and who have NO scruples, yeah, THAT's the ticket.

Success is on the way.

Nam
Assuming the Supreme Court adjudges Obama to be disqualified due to citizenship issues, does that mean our new president-elect is Joe Biden? And does that send a thrill up your leg, Chris Matthews?

Does that make Nancy Pelosi ONE step from the presidency, or will Biden select a new v.p. before that happens?

There's no good answer except to see what happens with Obama. And pray.

“… would be weighted down with
a lot of silly gadgets nobody wants anyway.”

The last few cars I have owned had a tachometer, and I have asked a thousand people if they wanted it. Not one, not even one, wanted the stupid thing. Most people did not know what it was for, and could think of no reason why it was there.

I remember when Sun visors were an extra.

And what happened to the little button you pulled and opened a vent to let the air into the car. Of course it let in smog, but most of the time, fresh air.

As for this comment, “They’d be poorly made, and would break down frequently. “

Most of us are familiar with that product. Just look in front of you, and you will see a computer operated by an Operating System, so we know about crashes.

In the past 50 years, if the automobile business worked like the computer business did, a Caddy would cost .50¢, would get 200 mpg, and would spent 10 hours a day in the ditch beside the road.

train ain’t it

charley Location: CO
Reply # 3
Date: Nov 22, 2008 - 10:10 AM EST
Subject: Rail, government
Rail is not effiecient.
============

Not true, the location of towns, cities, and the places people live in those places, and not efficient. There are not enough towns, located close enough to generate sufficient riders, and it is too far from the RR Station to the home.

When we visited Cousins in Mettlach, Germany, on the Saar River, there were 80 trains a day going through the little town, and it was almost 5 miles either way to the next one. A 15 minute walk, and you were home.

There may be small states in the NE where this would work, but to travel point to point in most parts of our country, train ain’t it.


Polly @ 10:38
The feds have the Thrift Savings Plan for employees hired after a date in the 1980s. It replaced the Civil Service Retirement System It allows the contributor to select the mix of investments they want. Works pretty well.

BUT IT IS NOT RUN BY THE GOVERNMENT. IT IS RUN BY A CONTRACTED PRIVATE INVESTMENT FIRM. This keeps the desire to "meddle" out of the hands of bureaucrats and politicians.

Liberals were no help

Cam Location: CA
Reply # 14
Date: Nov 21, 2008 - 7:58 PM EST

For decades, liberals tried to increase fuel efficiency standards
=========

Never, ever did a Congressional liberal try to improve anything. They tried to force others do that.

Of course the Big 3 all did their worst. Look in a parking lot, does anyone here think the cars there are anything but boring piles of junk painted in boring colors. I’ll take my ‘51 Plymouth any time. And yes I had seat belts that I put in myself.

When was the last time you saw a car exactly like yours as you drove or parked? Only if you are in a Dealer’s or Rental Car lot.

Thomas Sowell
Economic Facts & Fallacies by Thomas Sowell pointed out that government, when faced with a shortage, tries to diminish demand.

The private sector tries to accommodate the demand.

That is very basic macro-economic theory that everyone should understand. Mr. Tucker does, obviously, but I'm sure the idiot Socialist-Democrats don't.

This country is in for a rough road the next four years.

Cam
Are you pro-choice like I am? There are many people who, if given the choice, will choose medical care in which government has no involvement. I have worked in government hospitals and non-government hospitals, and the difference is stark. I want to be able to choose non-government medical care. Would you deny me that choice?

building highways
"Meanwhile, governments build the roads. And they’re inadequate and poorly maintained".
No surprises there the roads are built and maintained by taxes. Add a you scream bloody murder and vote it down. If you let private companies build the roads just where are they going to raise their money. Make all the roads toll roads. You leave out a few details in your plans.

So lets examine a road that is being built by private contractors in our state. Its a massive undertaking the biggest road building project in our state. Farmed out to private contractors it was as thats the prevailing philosophy, they can do it better and cheaper. This road has to pass through a mountain range. We are very prone to landslides in this part of the world. They brought in their big equipment sighted the road, in a straight line through the mountains, If one is in the way just cut through it. Just as they had gouged out the route, the state highway department came to inspect. The had gouged right through an obvious landslide in not one but a couple of spots on the route. All the state inspectors did was take one look at it and see the land side zone. The news article quote "it was quite obvious". So building stopped, until they could consult with geologists, and other experts how to stabilize the areas. After a year and millions more in expenses the construction is again underway. If the state folks had done it the slides would have been caught right up front. .

Potholes & Poverty
Tucker reveals himself to be a true disciple of the pathetic, ridiculous "right." As if the US auto industry has done such a magnificent job of building cars. They didn't improve quality until foreign car makers almost drove them out of business. It's happening again now based on inadequate fuel efficiency. US car makers have for decades fought every needed safety and efficiency improvement. Failed CEOs walk away with millions, but somehow union contracts can not be honored (that's promoting theft, by the way). For an explanation of the dynamics bringing us both potholes & poverty, google "Growth Facts of Life".

Too Easy
This thing with government takeovers is nothing more than a power grab. They say it is temporary.BULL!

This is a facetious statement,I say that up front....On 9/11 ,suppose the plane that was brought down by passengers,had hit the Capitol Building,which is where it was supposedly heading and the one that hit the World Trade Ctr.had been brought down,where would we be now?

I have often wondered what would happen and how government would continue if all the congress people were in session and none were left. Such a catastrophe could happen. We would have to restart in every state.


Private roads
Yeah what a good idea. We are doing it here in Texas. In fact we are getting so good at charging to drive on our roads that in some parts of Dallas the only way to get to and from housing areas North of Dallas are on toll roads.

It is so much fun that we take roads that are finished (having been built with our tax money) and then change them into toll roads so we can pay again.

Some of them, like the one that will take over half million acres of private Texans land to build a road that they want to sell to the Spanish for 50 years so they can charge and profit from Texans driving on our own land.

Yeah great idea. Thanks Rick Perry you moron.

Listen Up.
There is a fungus among-us. If you ignore it,it may go away. It is trying to latch onto someone who will give it life. Don't fall for it. It goes by the name of Ranger 29....

Had government not
taxed away half the operating capitol of every business every year since WWII, we would have the best manufacturing system and high-speed nationwide railroad system in the world.

The DC plane was headed for the WH. It would not be aimed at the Capital Building, because the Demoncrat half of the occupants were owned by the terrorists.

Ron
You're right.Something to think about.

Comment please!

Here is my Letter to the Editor as printed in the Los Angeles Times, a few years ago.
===

How about a different approach to the payment of tolls for use of the public transportation system. Let's have both the employer and the employee pay a few-cents-per-mile toll each day, for each mile over 10 that separates the home of the employee and the place of employment.

That money would be used to improve streets and freeways, purchase buses and create a larger subway network. This toll would encourage creation of jobs near homes and homes near jobs.

I am constantly amazed with the idea that just because someone finds a job and a home many miles apart, the general public is supposed to spend billions of dollars to improve/enlarge streets and freeways.

Cam - CA
Greetings from the Sidelines.

First, automobile makers make what the automobile buyer wants. Otherwise, the automobile buyer moves on to something else. So, considering the variety out there now, people can find what they want. We call it "shopping for a car."

Personally, I prefer muscle cars. They offer "power in reserve" when I encounter poor drivers making bad decisions on the highway.

So, I guess I enable car makers and their "short-sighted greed." Shame on Peter.

For your health care comment --- why do you get to make the deal between me and my physician group? Bug-off!

Who do you think you are, HillaryCare?!

Next, you fear the automotive industry is headed for a calamity? A money gift to them now only delays the inevitable = they need to restructure their operation.

Do you know what "bankruptcy" is, exactly? Please educate the rest of us, smart person.

I'll wait ....... (yawn)




Bob - CO
Bob ---

Then, let the auto makers of America file for bankruptcy.

Why would want to reward their poor performance?

Why go part way
lets go all the way now. Confiscate all personal property. The government produces everything like cars. They just place them on the street around the country and anyone that needs to go somewhere can have access.

New York confiscates churches . . .
http://wcbstv.com/topstories/church.homeless.shelter.2.8711 84.html

Now govt. is ordering churches not to shelter homeless folks under some bureaucratic nonsensical BS rule.

Achtung, new world order -- Heil Hitler and your Nazi stormtroopers up in the Big Apple.

When do we retake our nation?

right on tucker ! a gold medal article!
i think barney frank hopes his demo-rats can take over the roads and the cars in mayberry!the freddie mac mobile dont sound right!keep a eye out make sure a new fleet of buicks are not parked in barneys drive way!i miss barney fife !

chicaree (OR) @ 12:07 PM
Your comment indicated that the state government farmed out the contrat to build the highway.

That means the state, not the contractor, had determined the route. Check with your state government to see if I'm correct.

The construction contractor only agrees to build the road, not determine a route for the road. You blame the contractor for the foul-up when you should be blaming the state government for failing to do due diligence in planning the route through a landslide-prone area.

They can have---
...my 12 year old,1996 Lincoln Town car when they pry it out of my cold, dead hands!The finest car I have ever driven.

Driven to Destruction
Want a Trabant? A Yugo? A Renault Dauphine?

American Highways
When gas is $10/gal we won't need more highways.
When the big 3 built small cars, Americans didn't buy them enough to support production. the Vega, the Pinto, the Gremlin, etc did not fit our needs then, and for many still do not handle our needs. It is hard for the big 3 to give you competitive quality when foreign manufactures do not have environmental restrictions in their nation. When every item of those foreign cars are built in America, then the price will be competitive. When the foreign manufacture has to meet the Medical and retirement plans of the big 3 that will also level the playing field. Detroit has built some great cars. You bought big cars because you needed them. Wait until you have to replace that battery pack in the new hybrid. Shock.

It would be even better
If the government took over there would be no "new" cars. Based on 15 years in Defense industry and 10 prior to that in defense procurement, I'd be willing to bet none would get built because there would be continueing "change orders" and "product improvements" coming from all the bureaucrats who would have an oar in this pond. Thus there would be a continuing retooling, continuing (upward) cost adjustments and prototype after prototype with no end product...and pretty soon it would collapse and be sold to the highest bidder, more than likely one from offshore.

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.

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
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