Problem is that diesel engines are illegal in new passenger cars in some states, including most notably California (or were until quite recently). The automakers just can’t afford to produce a car they can’t sell in California. It just doesn’t make economic sense.

Just thought I’d mention it, because really, this is NOT the automakers’ fault, but the fault of government. And may be ONE argument for the government giving the car industry a loan to get out of the mess IT helped engineer.

Afraid I have to side with Michael Moore on this one–Not only did they send jobs out of the country, they did nothing toward putting out more economical/environmentally friendly cars until they HAD to because of the unGodly price of gas. They’ve been in bed with Big Oil for years, and now they got the STD’s

But then I also consider the estimated 3 MILLION jobs that might be lost if the Big 3 fail — approximately 300,000 auto workers plus the related jobs. That’s scary. Because I have first-hand knowledge of what it’s like to suddenly lose half your income through no fault of your own (it’s happened not once, but TWICE in our house in the last two years, once to a downturn in industry, once to an injury). I don’t want three million families (or even 300,000 or even ONE) to go through what we have.

What’s really ironic is that one of our vehicles is financed through Chrysler. When I needed to defer a payment because of our financial issues, they turned us down. No bailout for us, I guess!

I think what really, really, REALLY pisses me off with the whole bailout issue is that excecutives continue to take bonuses and junkets and their lives aren’t changing. And yet, we have children who go to bed hungry in the US still. And people living without homes. Our local soup kitchen/shelter is turning people away. There’s something wrong with that. When I think about that, my sentiments on corporate bailouts:

Which is why they need to get this banking situation done toot sweet. It’s amazing how interconnected these industries are. Who could’ve known all these things were being held together by string?

About the car makers. I mentioned a New Business Model above. Part of what I think may need to happen over time is a gradual shift to a psuedo JIT (Just-In-Time) supply model where cars are produced by order which will cut down on inventory. Kinda like how Apple (and Dell) computers operates. You can build your computer online and then it’s shipped to you when it’s done. POD operates this way too.

Part of the problem during the Great Depression was inventory control. Manufacturers had sunk all their money into production and inventory. Then when folks lost their jobs and the economy died, there was no demand for the supply surplus.

Items just sat in warehouses and manufacturers lost their shirts because they’d sacked all their money into inventory that wasn’t moving. Maybe if consumers could get used to walking into a dealership without the expectation of driving home with a car that day, it would help. This way automakers aren’t stuck with a surplus of cars people don’t want to buy. That saves money all around. It’s all about changing the business model structure.

Tanya… I feel the same. Quite a conundrum.

Rene’s right…it’s not just about GM but the people who supply parts, the salesman at the dealership, the mechanics working their service depts etc. BUT Rene…maybe Ford should have thought about retrofitting a plant a while back. People might look twice at a diesel car when they’re talking 65MTG. I know I would–despite the fact diesel is still pretty pricey.

>>I don’t know when the new paradigm of rewarding failure took over; but it makes no sense at all

Bernard WORD!!!!!!!!! It reminds me of my post about my son’s HS where failures are being hand-held and spoon-fed to get them through. It’s okay–here’s another chance. In real life you don’t get second chances.