Why Should the Government Assist US Auto Manufacturers?

As a lifelong resident of Michigan, I was raised withdon't have insurance and can't afford an office visit.
the belief that we must purchase only those- A close friend has taken a 10% pay cut in order to
automobiles produced by an American car companykeep his job. As a result, his home has been in a
(yes, even if some parts were made in foreignnear-foreclosure status twice within the past year.
countries). To this day, I still hold that belief due to- My sister, a medical biller, lost two jobs in the last
the fact that I find it incomprehensible to allow myfive years due to our economy. She now works two
own selfish desires to affect the employmentpart-time jobs, just trying to make the mortgage
outlook of my family members, friends, neighbors,payment.
acquaintances and my community as a whole.- My close friend, a vice-president of the mortgage
Yes, Detroit built its share of lemons in the 70's, 80'sdepartment for a local bank, lost her job when the
and 90's, but quality has much improved since then.bank was absorbed by a larger national bank.
Here's an example; I am a self-described car nut, and- Beautiful neighborhoods are left with abandoned
my enthusiasm happens to get the best of me whenhomes because people have had to move just to
that awesome, latest and greatest "wow" car designfind work. Of course, there are few people who can
is introduced. As a result, I don't wait for rebates orafford to buy homes, so these homes sit unoccupied.
incentives; I just go for it as soon as my dream car- Municipalities are eliminating police and fireman jobs
hits the showroom. The first time I could afford tobecause they're not collecting the taxes required to
do so was over ten years ago, when the '97 Fordpay the employees' salaries.
F150 was introduced. I loved it, leased it and never- School systems are eliminating teachers, resulting in
had a single problem with it. Then came the '99higher class sizes.
Chrysler 300M. Again, I leased this beauty and loved- My nephew, a packaging engineer, moved to
driving it. Unfortunately, it was not as trouble-free asPennsylvania because there are no such jobs here in
my Ford, but it was okay. I figured it still lookedMichigan. The affect of our economy is also starting
good, was fun to drive and the lease would be upto hit Pennsylvania, and he's not sure if he'll have a
soon. So, the next best thing came out, and again itjob in six months.
was a Chrysler product, albeit the Dodge line - theThe list goes on and on, and the loss of another 2.5
2004 Dodge Durango. I leased this vehicle for fourmillion jobs in this country will be absolutely
years and didn't want to chance a potential lemon, sodevastating; entire cities will go bankrupt and
I purchased the extended bumper-to-bumperrecovery will take years. The government didn't
warranty. Of course, I never had to use it; thiswaste a moment deciding the fate of AIG, who
vehicle was abused by my family, pushing the towingemploys 100,000 people worldwide. Why are they so
capability to the limits, and during our four-year leasehesitant to save 2.5 million jobs here in the United
we never once required service. Even at its leaseStates? Probably because they believe auto workers
end, this vehicle drove beautifully. So, it is my opinionare overpaid - and they are. The UAW needs to
that Detroit's automakers made a 100%voluntarily take a 20% pay cut, and the company
improvement in quality in the short span of just fiveexecutives need to do the same. Perks need to be
years, from the late '90's to the year 2004.eliminated, and survival has to be priority number one.
Some might wonder why I would have chosen anEach car company should be required to produce
American car, after recently experiencing problemssmall, fuel efficient vehicles within 18 months of
with a previously leased American car. Well, theobtaining government assistance, and do everything
answer is simple, my friend. If more people had myin their power to develop alternative energy for their
attitude, Michigan would not be where it is today.vehicles - even if it means joint ventures. Executive
You see, Michigan has been in a recession for fivegreed needs to be a thing of the past; the auto
years, and it hurts to know that my decision,company leaders could learn a thing or two from
combined with all of the others who might choosetalking with Lee Iacocca, who generously offered to
foreign cars, will deeply affect others.bring Chrysler back from the brink of bankruptcy for
While I agree that the business model of U.S. autoa yearly salary of just $1.00 back in early 1980's.
companies needs drastic change, I also have a clearNow, that's a true leader, and a man dedicated to
understanding of what's ahead for the entire countryseeing results. Perhaps Steven Feinberg, owner of
if the government does not lend theseCerberus, which purchased Chrysler in 2007, should
manufacturers the necessary funds to see themdo a little something to help with the U.S.
through this very difficult period; we're living it alreadymanufacturing sector, rather than just looking to
here in Michigan, and the rest of the country willmake a quick profit.
experience what we've gone through for severalIf the auto industry in this country is going to
years. Michigan lost 330,000 factory jobs since 1999,survive, and ultimately keep the United States from
and as a result many others have been affected:entering a depression, everybody needs to give.
- My husband is an energy center operator for aConsumers need to take a second look at American
manufacturer directly tied to the auto industry. He'scars, the UAW members need to take a 20% wage
been laid off at least five times in as many years,cut, as well as start paying for a portion of their
and the threat is always lurking.health insurance, and CEOs and executives need to
- My dentist has lost 27% of his business due to theput an end to their greed. And most importantly -
fact that people who don't have insurance simply dothe key to the auto companies' survival - the United
not go to the dentist.States government needs to lend the money these
- My OB/GYN found it necessary to eliminate 20% ofcompanies need so that manufacturing and its jobs
her staff - again, because women's "femaleremain a vital and stable factor of this nation's
problems" are placed on the back burner when theyeconomy.