Momentum gains for automaker bailout
Talks have started at the White HouseAutomakers have gained momentum in their quest for some $50 billion in US backed loans, although that amount could get slashed to $25 billion.
The Detroit News has reported, "It's something we're aware of and we're talking to the members of Congress and also the people in the (auto) industry, and thinking about what they might think would be required from their perspective," White House spokeswoman Dana Perino said at a press briefing Tuesday. She said she wasn't prepared to say what funding amount "the White House would or would not support," noting "there's a lot of details that go into something like that."
And, with both John McCain and Barack Obama supportive of at last $25 billion - Obama supports the $50 billion - some type of bailout seems inevitable.
Labels: Congress
posted by Dahcredyns at
7:02 AM
3 Comments:
Just watched the sales numbers come out on Ford for August - down about 25%. Even worse, Ford is warning that the second half of this year will even be worse.
So, why isn't Honda suffering like the Big 3?
Ultimately, we the taxpayers, are going to bail out the US auto industry because they wrongly put all their eggs in the one gas guzzling basket.
We're not helping them to build more fuel efficient cars, we're bailing them out of their decision to only build the most profitable vehicles, despite their effect on foreign oil dependence, the environment or global warming.
Ironic how Barack Obama is a huge proponent of this the automaker bailout. The US auto industry has fought against most things he currently stands for, but i guess UAW votes are the only thing that matters. I guess I shouldn't be surprised at the actions of a long time SUV-driving, ethanol supporter.
I have not faith in Republicans, but Obama gives me little in which to believe.
Kill the lawyers? Shakespeare had it all wrong. Kill the politicians (not really, but you know what i mean).
Aren't Nissan sales up as well?
This is really sickening to me. Why should we even consider bailing out the not-so-big Three? I wish for once our government would let these companies bear the brunt of their mistakes without a bailout. I guarantee there would be less mismanagement if we did this.
Unfortunately, the Federal Reserve was created just for this reason, to be able to make money out of nothing and use it bail everything and everybody out. Printing more money out of thin air increases inflation, weakens the dollar and is worse than a tax...the hidden tax of inflation I guess it is called.
Let the automakers fix their own ills. How else will they learn?
i totally agree. there is no doubt those auto industry jobs are great for the economy, but at any cost?
it will cost the government $7.5 billion just to guarantee these loans. if they don't turn the US auto industry around, we're left with $50 billion in debt, plus auto industry debt, plus health care and pensions?
that doesn't sound like collateral to me.
this is an industry that, even after 9/ll and katrina, decided smaller, more fuel efficient autos, let alone hybrids and EVs, weren't worth pursuing and now the taxpayers are expected to finance that ignorance?
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