Federal Solutions To Detroits Nightmare?
June 10, 2007
A 'Joe Six Pack Rant'
Politicians Do not like this Ride, though the Market wants it
Ouagadougou- I was ranting about a post SobeSVT posted HERE earlier and My rant took on a life of its own. Being the local TUT, I decided that by decree that this rant is long enough to qualify as a FoMoCoNews Editorial Here is the rest of the rant.
It sounds plausible that the government will 'help' business when politicians propose solutions to business problems But, neither of the government proposalsto end dependence on oil or pay for health care would help the US auto industry.
Simply a Government dictated product line, and government dictated employment terms are exactly what Mrs. Clinton is proposing (HERE). It’s like the Kamaz trucks Industry idea in USSR. Not exactly a recipe for business success
The real solution lies in the Auto industry responding to the market demands, without their hand being tied by UAW and Government regulation. For example, the healthcare quagmire that Detroit finds itself in is partly to be blamed on Government interference, through political arms twisting by unions in the 60’s and 70’s. If ever there was an anomaly in American Democratic system, it’s the power of unions to blackmail politicians, especially government employee Unions, being able to dictate whom their employer will be. That however is another line of thought.
The real solution lies in UAW adopting a more reasonable health care package, like the one we normal people have. Co-pay, and no healthcare guarantee after retirement, to bring costs down. After all, there can be no guarantees if the guarantor goes under. Big case in point is just how close Chrysler came to going under. What would have happened to those guarantees? They would be as worthless as Cuban currency in the US.
Its ironic, that when Canada, France, UK are moving away from government only healthcare systems, we are still trying to do it, we have a romantic view of this utopian ideal. Which is not practical.
A political Solution- You get the picture
The other issue is interfering with business and making them operate as government enterprises, for example, the Feds, 'saved' Chrysler in the 80’s; we know that Chrysler used that opportunity to move ahead of the pack... Today it’s much weaker than GM or Ford.
Congress and the executive have an obligation to spend our tax dollars responsibly. Congress cannot hope to keep this country, free and attractive, if they do not assume that they know best how to spend our hard earned money. Pursuing political ideologies with out tax dollars should not be how congress does its business. They should be careful not to over extend families. Case in point is that virtually every government welfare program the Feds have ever undertaken is either a colossal failure or is showing signs of collapse. From public school systems, the worst in the develop world, to a Social Security system that is showing signs of insolvency, to Medicare costs overruns. Federal deficits, etc.. There is no human society where the government has taken over the responsibilities of the family and local communities that has ended up successfully.
can the feds afford to spend more without killing this economy?
Lastly, I think Ford, GM, Chrysler should not be bashed, the Health care nightmare they find themselves in is partly the fault of the government interference, the Government should let them sort it out, and not interfere.
Politicians from Mrs. Clinton, Al Gore, President Bush #43 to Obama are making political hay bashing Detroit, They should leave Detroit alone to sort out its mess, and not interfere with the solutions it finds. They should especially keep out of any union fights that might come up.
That is my opinion.
Someone who has been to any school of journalism did not write this commentary. It adhere to no journalistic standards