My View On The Automaker Bailout
I’m sure everyone has heard through the news already that the big 3 automakers (Ford, GM, Chrysler) are looking towards the government for $25 billion to help them out of this economic rut they’ve dug. Gas prices have been steadily rising (although they are at a low right now, it won’t always be like that). Yet these companies continue to develop, market, and try to sell vehicles that are simply not fuel efficient. A simple comparisson between Ford and Honda shows that Ford makes just one (1) car that gets more than 30mpg, the Ford Focus (35mpg). While Honda makes four (4) cars that get more than 30mpg (or alternative fuel), the Accord (31mpg), the Civic (36mpg), the FCX Clarity (fuel cell), and the Fit (33mpg). Honda is not asking for any bailout money from the government.
On top of this. The CEOs of Ford, GM, and Chrysler took corporate jets to Capitol Hill yesterday to ask for $25 billion of tax payer money to help them with their failing companies. These jets cost around $20,000 for the round trip each.
One representative, Rep. Bradley Sherman (D-CA) had the following to say:
“I’m going to ask you to raise your hand if you’re planning to sell your jet in place now and fly back commercial. Let the record show no hands went up.”
Another representative, Patrick Henry (R-NC) said the following:
“The fact that you flew in on your own private jet at tens of thousands of dollars just for you to make your way to Washington is a bit arrogant just before you ask the taxpayers for money,”
I’ll have to agree with both of those comments.
Some say we need to bailout these companies because it will effect thousands of middle-class jobs such as mechanics who depend on these companies. Too bad. I feel this needs to be a growing pain for letting the companies who are willing to develop more reliable vehicles and research alternative fuels go mainstream. We can then move towards creating those middle-class jobs in this new infrastructure with new skills.