Long Enough!

It seems that the Senate can’t get things moving on this $14 billion bailout for the automakers. And President Bush is trying to get a few of the Republicans to agree on the plan. But a lot of them are sticking to what they believe in and are going to vote no on the bailout. If there’s not a majority vote the bill will die. And if that happens the U.S. Market as well around the world will all fall deeper. I personally don’t care if the bill fails; my 401k has already hit rock bottom, as well as others. I guess we shouldn’t really look at that thought. I do know if they fail a lot of jobs will be lost, but most of these jobs are going to be cut either way. If any one of the automakers falls it will affect vendors and even hit the car insurance industry. So should we let them fall or save them, I really don’t have an answer for that. But whatever choice is made I sure hope it’s a good one.

Tags: Automakers, Bailout Money

The House Said OK!

The U.S. House of Rep’s agreed on the bailout bill of $14 billion. The problem now is the Republicans in the U.S. Senate. It seems that the Republicans would rather have the automakers file for bankruptcy. I understand that if one or all automakers go under the job rate could rise almost 2 percent. And if that happens we’ll pay a huge amount in unemployment benefits. So is it better to pay now or pay later? I really don’t have answer to that question, and neither do other people. The automakers provide for a lot of jobs in and around their factories. Not only will they have to cut jobs, but also their vendors would have to do the same. I’m still 100 percent against the bailout money, but that doesn’t count for much at this point. I knew they we’re going to get the money, but in the end how much will they really get when it’s all said and done. I think over the next year they’re going to ask for close to $100 billion. And that will be all on Obama to agree to give that much out. We’ll have to wait and see at that point.

Tags: Automakers, U.S. House of Rep’s, U.S. Senate

Ford Motor!

It seems that Ford Motor Co. will try to make it on it’s own. The advantage Ford has over General Motors Corp. and Chrysler LLC is that they have been fixing their problems since 2005. They saw the need to make changes back then, and now it’s paying off for them. I remember back in 2005 when Ford starting to cut jobs and close factories. A lot people thought the company was going to fall apart or be sold off. But that never happened, they we’re doing what any small business owner would have done, try to fix themselves. If Ford pulls through this recession on their own, without taking any bailout money they will once again be the leaders in the auto industry. The American people will look at Ford a lot differently if they can do it on their own, I sure will. We really won’t know if they can make it on their own as of yet. They say they can, but we’ll have to wait and see.

Tags: Automakers, Ford Motor Co.

Tough Sell!

It seems that the Congressional Democrats and the White House have worked out a deal to save Detroit’s Big Three. The automakers will receive $15 billion in bailout money from the U.S. taxpayers. But the real question is, will we ever see that money again, I don’t think so. Unless we give them more money, about $100 billion over the next year. This $15 billion is only going to hold them over until President-elect Obama comes into office. Anyway, President Bush is expected to sign the bill to give the automakers their short-term loan. That’s if it even makes it off Capitol Hill. That’s because a lot on Capitol Hill thinks the automakers should take care of themselves, not the taxpayers. I can’t agree with them more. GM already said they would file for bankruptcy see by year’s end without the money. I think any automaker should fill for bankruptcy and see where the cards land. I would be willing to bet they would come out a lot stronger. The vote on Capitol Hill is coming up on Wednesday; we’ll all see what happens then.

Tags: Automakers, Detroit's Big Three