Senate Republcan leaders and other American conservatives are completely unconcerned by the potential loss of tens of thousands of American jobs, and the subsequent closing of hundreds--perhaps even thousands, of associated businesses related to the auto industry.
This loss business would have a devistating ripple effect throughout the country--including parts manufactuerers's, auto dealerships and even many small local businesses in Detroit and other areas of the USA, whose businesses and very livelihood, depends as much on the wages of factory workers, as the workers themselves do.
Yet repubican leaders--who rent the air with their pleas for Washington to take pity on the banks and creitors who caused the economic collapse, apparently have no pity in reserve for car makers, one noted republican allegedly calliously called US automakers, "A dinosaur whose time has come", and another allegedly claims the industry's "Day of reckoning" is near.
The auto industry is seeking 25 billion in bailouts--a mere drop in the bucket compared to the 70 trillion that's eventually going to be allotted to banks and the financial industry...whose number of employee lay offs will be a pittanance, compared to what will happen to the auto maker's staff.
Senate Democrats are lobbying during what's known as a "lame duck" session, to get approval from the loans, but, since the democrats will not have a full majority until 2009, this is beginning to look more and more unlikely. One alternative being bandied about by republicans, is that the loans be purely for the development of fuel-efficient cars. However, this is merely a placebo, to make it look like they are doing something--because a loan for building new types of cars--which wouldn't even hit the market for at least 4 or 5 years-- won't even amount to a Band-Aid (sticking plaster), in light of the crushing losses the industry is currently suffering.
Democrats--whom are are majority, but still need republican support to pass legislation--need 12 votes from senate republicans to defeat opposition to the bailout. Something unlikely, since republicans generally speaking, have all voted however their party tells them to, for the past 28 years. So far, only two republicans have had the short-hairs go against other republican hard-liners, and support the measure. Several others may follow suit---but only if strict conditions are put on the funding.
This is a complete turnaround mind you, of the republican stance on bailing out the financial industry--where republicans cried foul over calls for strict oversight for how the financial industry puts the public loans to use--which is already abusing bailout funding, such as continuing to give executives millions in bonuses. The total lack of Washington oversight is also allowing the Chairman of the Federal Reserve, Paulson, to be completely immune to any questions from politicians and press alike, about whom he is giving the public funds to, and how those funds are being spent.
To prove that republicans are completely oblivious to the suffering their lack of action will cause millions of ordinary American citizens--lengthing the effects of the recession, and even causing some states, like Michigan, to fall into a regional depression, one powerful Washington republican says this;
"Companies fail everyday and others take their place." said Shelby, the senior Republican on the Senate Banking, Housing and Urban Affairs Committee. "They're not building the right products," he said.
Congress is planning to push forward an aid package, depsite the opposition from republicans in the Senate. However, President Bush opposes the measure, and he ultimately does have the power to veto any bills leaving the House or Senate. And, being that he is a lame duck president, who is already one of the least popular preidents in the history of the United States, he has little incentive to withdraw that opposition.
Republicans, who have already lost many of their key moderate supporters in the last year, may lose even more support of the public, if it is seen that they have caused the massive loss of jobs in Michigan and other areas---areas which had previously been strong conservative supporters. Republicans do not seem to be fazed by this though--or have simply not even considered the long-term effect their anti-automaker stance will cause their party--and the bailout for the auto industry is beginning to look more and more unlikely...which will probably cause further restlessness within the financial industry, as well.



technomist

American car-makers haven't been making decent looking cars for ages. They are, on the whole, clunky and boring.
I think the US government should not intervene to subsidize their car makers - to do so will start a trade war with Europe.