Tag Archives: Ford

The Car Companies – They Have It Coming

For a lot of people, (including me) it looked as if Obama is bullying the auto makers.

But before we go there, I want to talk about my personal feeling towards the “car issues”.  And this feeling of mine exist long before the financial crisis ever got into full swing.

Each month an American family buy approximately 4 or 5 DVDs, 2 or 3 books and CDs,  and probably 10 set of new clothes. So it doesn’t make any sense to me that on TV no matter what channel, there are more car commercials than commercials for DVD, books, video games, and music COMBINED. Who are these people that buy 4 or 5 cars every month? Most people I know who are in their 40’s and 50’s have owned only 2-3 cars in their lifetime.

There are way too many cars in this country

I used to live DC Metro Area. There was an HOV2 lane on 270. HOV2 lanes mean that any vehicle with more than 2 passengers is allowed to use it. You know, to speed up the traffic. The HOV2 lane, ladies and gentlemen, is always EMPTY!

That means that every car that is clogging up the other 4 lanes of the highway are all one car per person. That’s insane! People! You can’t have 1 car per 1 person. That’s just not possible. There’s barely room enough for human being on foot. We can’t make room for millions on car. There are 2 millions people in Virginia over driving age. What if all of them have cars?

BUT THEN! You say. If they want cars, how can anyone tell them not to get a car? Who are we to tell them not to buy a car? The answer is very easy.

Everybody who want big screen TV,  PS3, and super fast computer can get what they want, if they have the means to pay for it. That’s what should stop them, MONEY. Problem with the car industry? People who can’t afford to buy cars are still driving cars. That is insane. That destroyed the entire idea of Capitalism. People with bad credits are taking out loans on their cars just like people do with houses, and the insurance companies just can’t freaking handle the weight anymore.

When there are more cars, unpaid for too by the way, cities that are out of expansion room (because they are islands) like DC and Manhattan are packed with traffic. Urban areas keep expanding. More trees get cut off and more parking lot built. Oil price getting higher and higher. And when all these happened, the car companies just can’t seem to understand the problem. They were like: “We don’t have a clue. We thought our sales number are just going to go up and up and up. I thought people would buy cars forever.” They don’t have a clue.

Well, Obama is not going to take “don’t have a clue” for an answer.

Of course GM and Chrysler’s reports aren’t going to satisfy Obama administration. They live in a fantasy world. They said “people love cars and we love selling them”. Somebody please tell them that car is not like shirts and hats where you can buy many of them, store them in your closet, and used each one for the different day of the week. Car is not like that. Nobody drive Audi on Monday and drive Chevy on Tuesday.

But believe it or not, their motto was, as long as we build cars there will be people who are going to buy them. Are they going to pretend that people with worse and worse credit are able to get their hands on cars and then… oh I don’t know, pay on time?

The car companies could have given Obama a crayon drawing of the unicorn in place of their forecast. And this looks bad for Obama, having his people going in there and tell them how to run the proper company and force them to let go of unprofitable department.  But he is doing it to show that he’s not just going to abandon the companies outright, even if it means he will look like a big government posing socialist policy onto a great American company. He’s not. He’s being way too nice.

What Obama threatened the auto-makers with, I would just do it without giving them a chance. Having them running around trying to reorganize themselves knowing that it is impossible is just too damn cruel.

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