|
EDITORIAL:
 Yes, that is right, there is no such thing as an American Auto Industry. We are all in the same boat, Mexico, the primary manufacturing country, the US and last but not least Canada. The entire Continent has been built around this item, the automobile. We developed our cities, our communications, our economy; our livelihood depends on the automobile. We can substitute it, but it may take 100 years for us to develop an alternative. Meantime, all of us alive today need the car.
I have no idea how many cars we need in North America, it must be many millions. But our cars do not last forever, they need to be replaced. Every years North America needs something like twenty million cars just to keep up the replacement rate. There is a certain point where a car becomes more expensive to keep than to replace. Even if we tried to hang on to our existing cars we would eventually fall into a huge money pit.
So we are going to need new cars until at least 2100.
The Japanese, the Koreans, the Europeans, and the Chinese of course, everyone can build a car economically except the Gringos, or so it seems.
Some say that Obama was inexperienced and he might be tried by some mysterious foreign foe. Well, those Bad Americans that are praying for Obama to be a failure are the ones testing President Elect Obama. These people would love to see our country go down the tubes so that we all run to them and ask for salvation. I am sure the American People and their new President will not succumb to such a stupid ploy.
There are many inherent problems with our economy and the auto industry is just a good example. We should save them and make sure that they are back on their feet ASAP. If we don’t and think that the Asians will keep selling us cars at the present prices, we would be in for a very bad surprise. If we lose Detroit, expect to pay $100,000 for a Camry, $250,000 for a Lexus, $50,000 for a Chow Main (or whatever). Even in the best scenario, it will take the foreigners many, many years to catch up with the demand. Cars will be a scarce commodity, prices will be very high, remember the “oil” problem?
If you think that others will come and do the job we are not willing to do ourselves for free, you are dead wrong!
So we are going to save Detroit!
But we will not give them the money. There will be a catch to it. We have the experience to bail big entities out of problems. We have handed out the pain medicine to many countries, now it is our turn to take it. Yes, we will have to swallow our own most bitter cocktail. Our own and much hated IMF will provide the path to salvation.
We provide seed moneys that include very strict rules and warranties and they get to work and make the cars we need. As simple as that. Mexico did it, and so did Argentina. They survived, why not the US?
But like in the case of our friends, the Auto Industry is not the only one at fault. There are many other entities that have something to do with it including the good old American Consumer. It all has to change.
Let’s compare a Cady to a Lexus. By the time a Cady rolls down the assembly line it has paid over $5,000 USD in taxes and what not’s. When a Lexus arrives at long Beach, it has paid less than $5 USD to Japan. If the total cost of the car is 38% of the SP, $5,000 could be a solid 25% to 40% of the total cost of manufacturing. In this case the WORLD AIN’T FLAT. So let’s make it flat!
BO has to lead the way so that both cars pay $2,500 to the IRS. Since we can’t use import taxes thanks to the Reps and Clinton, we need to tax the automobile distribution evenly. So now we need a Federal Excise Tax on all new cars (Rush and Friends will call BO Communist, but by now no one gives them a fart). So now the American car costs $2,500 less and the Import will cost $2,500 more.
Maybe buying American won’t be that bad.
THE UAW
What can we say? Can a Contact stop the progress of the United States of America? Lincoln said no back in the 1850’s. And it is still no. The UAW has to give to survive. They either supply competitive labor or they are out of business. No person, entity, or Union, has the right to hold us hostage, and the UAW will not hold us hostage. Basically the UAW has to make a choice, they either go out of business alone or they go out of business with Detroit.
All this with the Lear Jets of the Auto Executives is just a bunch of Bravo Sierra. It looks bad, but the reality is that it is the least expensive way to move those people. Most Airlines will not even allow them in their regular flights because they are such security risks that end up jeopardizing the entire flight. All is nonsense. Besides, those Jets are very uncomfortable. There is nothing like a big old Boeing to take you from A to B, the toilets are so much better!
When Bobadil turned over the Alhambra to His Catholic Majesties in 1492, he also gave Queen Isabela his two sons for “safe” keeping. The Auto Industry will warranty the loan with their First Child; comprende Sr. Obama?
By the way, we need to do the same with everyone else in this country and let’s go to work ASAP.
So don’t be scared about a Federal VAT of 17% to 20%, it is a good thing. Don’t be scared of total economic freedom for the Family Industry. Do not be sacred of the immigrants that we need to run our farms and factories. Be scared of doing nothing.
If you like this, tell your friends; if you don’t, tell me.
-- Prometeo
[Ed. Note: Prometeo is one of ALIPAC.net's insightful posters. His original post can be found here (our posts are open to public viewing, however you must register to post an opinion.)]
|
