Screw The Auto Bailout: Why Not Just Nationalize The Industry?

At the moment, DC and Detroit are brooding on a Morton's Fork: Watch the American automakers auger in and take hundreds of thousands of jobs with them, or bail out these failed and incorrigible companies whose management so richly deserves whatever hell (flying coach?) awaits them.

Tops on the critics' list of grievances is Detroit's failure to anticipate the inevitable. Why didn't these companies sufficiently invest in next-generation technology -- fuel-efficient small cars, high-mileage hybrids, plug-ins and all-electric vehicles -- that could help wean the U.S. off foreign oil and take the automobile out of the climate-change equation? As the auto executives again bring their begging bowl to Congress, a consensus is forming: No bailout unless Detroit builds greener cars.

Nonetheless, the question remains: What to do about the domestic automakers? My modest proposal: Nationalize GM.



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AgentOrange - 12/4/2008 11:06:44 AM

+1 Boost

Hmmmm, Nationalism and Socialism. A novel idea.
We could call it National Socialism...

Agent009 - 12/4/2008 11:11:35 AM

+1 Boost

It is an interesting viewpoint... Not sure if I advocate it though.

ThierryHenry14 - 12/4/2008 1:03:13 PM

+2 Boost

I remember a little regime in the 20s and 30s that used national socialism to reinvigorate a nation, and they called it Nationalsozialismus.

It might actually work...

Hyundai - 12/4/2008 5:29:06 PM

+4 Boost

"Hmmmm, Nationalism and Socialism. A novel idea.
We could call it National Socialism..."

Ahem... National Socialsm = NAZI.

Nationalsozialistische Deutsche Arbeiterpartei

Or,..

National Socialist German Workers' Party

enp83 - 12/4/2008 8:36:27 PM

+3 Boost

dumbest idea ever, let's turn over the big 3 to the same people who run amtrak. It'd more or less be business as usual. Amtrak runs routes that lose money, big 3 sell cars that lose money.

rocker - 12/4/2008 12:04:47 PM

+5 Boost

Until gas hit $4 -$5 a gallon no one had a problem with buying a SUV or gas guzzling car. Why do you think both Nissan and Toyota jumped headfirst into that market. There was money to be made. The US Congress could not regulate the oil industry or the commodities markt(where the real trouble came from) and so now they blame everyone but themselves(US Congress). Free Market or Death.

VISO - 12/4/2008 12:08:28 PM

+5 Boost

Nationalizing the automotive industry has bad precedence from previous historical experience. What is happening to Detriot is very similar what happened to the British in the 60s and 70s when British Leyland was formed after the British government nationalized its automotive industry. The British have never recovered with many British brands disappearing completely. Only Bentley, Rolls, and Mini survive and prosper because of foreign intervention. If this happens it will the death of the American automotive manufacturering.

lewishamiltonpimp - 12/4/2008 12:13:40 PM

+5 Boost

2 words.

British Leyland.

skippee - 12/4/2008 12:15:22 PM

+4 Boost

YA....the government can't even run the country properly, what makes you think they can run auto companies????

EL34 - 12/4/2008 12:36:53 PM

+5 Boost

It's NOT the car companies, it's the Union are their demands for more and more money.

The Unions have a problem with money and they need more and more every year.

UAW - RIP

mini22 - 12/4/2008 12:38:58 PM

+3 Boost

Many governments have helped auto indutries in other countries-Britain,France,Germany,Italy etc. when their auto makers were in trouble. This is not the only government that has done this.Provided it is a temporary situation with proper accountablity I'm not against it.The question is do we want manufactoring in the country or not.

M35MT - 12/4/2008 12:49:13 PM

+3 Boost

Yes let's just give our country to the Russians and become commies!

NO.

M35MT - 12/5/2008 8:39:21 AM

+1 Boost

You clearly dont understand politics.

inspirion7 - 12/4/2008 1:19:10 PM

0 Boost

Uh, why? That is why MOST countries around the world refuse to become directly involved in the affairs of corporations. They might assist but not often take on and run a capitalist designed company.

Kill competition, go socialist.


I'm sure 009 is only playing the DEVIL'S ADVOCATE because for really suggesting such an idea would be well below your paygrade.

M35MT - 12/4/2008 4:25:48 PM

+1 Boost

you're an f'ing idiot. kill competition? you kill motivation, you kill quality, service, revenue, capital, progress YOU FAIL.

M35MT - 12/4/2008 4:27:20 PM

0 Boost

my bad inspirion (possibly my bad) i think i angrily and rashly went ahead and assumed you were pro-socialist.

At least I was able to use the word "rash" in a sentence.

jimmyjump - 12/4/2008 3:56:15 PM

+3 Boost

That is about the worst idea I have ever heard...but this

Green cars or lack there of is not the crux of the issue. People buy when they want and they buy what they want. The market decides. Did an unhealthy amount of poor planning and heavy reliance on large SUV's/Trucks by the big three agrivate this? Yes it did and now these companies need to face the concequences of that. But at the end of the day they built what the american people wanted. Next to the HUMMER there was a Chevy Metro back then too.

At the end of the day whether it is a bail out, oh I meen a 'loan', or we salute Marx and nationalize this is our tax dollars being use to do this. Instead of taking from you me and letting the few decide who wins or losses why not just give them breaks on their taxes or give us breaks on our taxes on car loans and let our AMERICAN system work.

mini22 - 12/4/2008 5:25:23 PM

+5 Boost

I would like to know what percentage of the buying public is not buying US cars as a result of the credit crises versus preferring a foreign make. With 99% of all makers car sales significantly down I'm guessing that this is more about lack of credit rather then personal preferences.Isn't it interesting that congress it playing hard ball with the auto makers in making them come up with a business plan for 34 billion when congress did not require this of banks and AIG when it lent them more then 1/2 of the $700 billion allocated. What happened to the term"fair but equal"?

NItePhire - 12/4/2008 10:10:51 PM

0 Boost

+5

rubenkincaid - 12/4/2008 9:02:01 PM

+1 Boost

Nationalization... bad idea for BL, for Peugeot, Citroen, etc. Yugo was a great though, right?
In common with two of these US car mfrs is a crappy product - GM and Chrysler make lousy vehicles (Ford, a better R/D record) GM and Chrysler are at the point where they should fold.
Use the bailout for the workers to relocate and reeducate.

XYZZ - 12/5/2008 7:12:28 AM

0 Boost

even if i were President-for-Life, el Supremo, Glorious Leader of the u.s. of a., i would NOT BE SO STUPID as to want to national gm or chrysler. why would i wanna take over sinking ships bleeding red ink?

i would nationalize THE OIL COMPANIES!

RaulT - 12/5/2008 11:19:27 AM

+1 Boost

I don't understand this argument, apart from the SUVs (which Toyota, Nissan, and Honda also have) the big thress, especially GM, do have fuel efficient cars. I wouldn't quite call the Cobalt a gas guzzler

XYZZ - 12/7/2008 6:43:39 AM

+1 Boost

the smarter asian ceos didn't put AS MANY eggs in the suv/v8 pickup basket.

enthusiastx11 - 12/7/2008 11:56:58 PM

0 Boost

answer to your STUPID, UNPRINCIPLED question:

because this is AMERICA, NOT VENEZUELA.

happy to buy you a one-way ticket to caracas. just let me know where to send so we can be rid of you.