U.S. auto industry will probably disappear

Why American auto industry will fail: Wealth doesn't last past three generations. The current generation are a bunch of veil calfs

I feel sorry for all the workers especially at this time of year. But we can hogtie the executives and roast them for Christmas.

Bob Williamson
Chair Greenhouse Neutral Foundation
Author of ZERO Greenhouse Emissions - The Day the Lights Went Out - Our Future World
www.strategicbookpublishing.com/ZEROGreenhouseEmissions.html

Who spiked his coffee. They will disappear to make space ships but that won't be for a few centuries yet. Some people just like to make noise.

Ehh I disagree manufacturing (and education) is the backbone of a nation. Paul Krugman just wants the Volvo to rule America :P

I love this country. My ignorance is motivated by the fact that my daughter will inherit whatever mess "WE" have currently allowed to happen with our complacency and getting high and sexcapades and fucked up attitudes.

They should merge and pool their resources. Look at Boeing and McDonnel Douglas. They merged and now they're taking on Airbus. And, if they file chapter 11 bankruptcy, a judge has the power to fire the execs! I'm all for that!

"lack of willingness to accept the failure of a large industry in the midst of an economic crisis."

Perfectly put, but the employees need to be kept employed and the industries that rely on the auto industry need maintained. I can't even imagine how horrible of a collapse this would be if these companies die. Obama seems to have the, albeit distressing, right idea of spending more money to maintain this sector.

I think what these companies need to do is work overtime to change their product to fit the needs of the present and possible recycle their resources.

It is quite odd that with so money people in power begging for money can't actually come up with a good plan... I guess these guys never had to struggle to pay for college.

Time for a reality check.

The big three’s problems with foreign competition have virtually NOTHING to do with the unions. Other than a few exceptions, unionized labor actually constitutes a very small part of the total cost of a US manufactured car (Multinational part streams, large subassemblies, mechanized assembly, etc.).

The greatest problem has been with the consistent lack of re-investment back into the corporations. Another problem is that the leadership is seemingly unable to understand the simplest of business concepts. As an example, time and time again the US industry has continued to invest in failing adventures because of their initial investment (fails the understanding that sunk costs are sunk – don’t throw good money after bad).

IMPO (in my professional opinion), the US automakers are not viable not because of costs but because of poor management. The unions are only a convenient scapegoat for the lack luster management.

Agreed.
The "big three", as we know them, may be on their way out but, auto manufacturing in the US will continue. We have too many innovators and resources for it all to come to an end. Out of the ashes will rise new and better driving products.

The US auto industry will not disappear. The big three may merge or morph, but the industry will adapt.

all US manufacturing is disappearing thanks to reckless and insane free trade deals pushed through by unpatriotic neo-cons.

I always thought you began with training wheels not that you end with training wheels.

The "Three" are too arrogant and refused to build smarter cars. lenhart, I think the "free market" has done exactly what it is supposed to do, and left behind the inadequate competition. A shame, yes, but it is also the American way. They need a serious wake up call.

Who says we need all three of them anyway? Let one go under and allow the market to decided if we still need the other two. They can't expect a continual tax payer subsidiary.

This is actually a huge miss quote. Krugman said, and i paraphrase, the American auto industry centered around Detroit would disappear. Please research before you post stuff!

What will happen?

Without the auto industry we will cut down on pollution and green house gasses.

This is huge.

Fuck em'. I went to college with the sons and daughters of these arrogant bastards. Their kids were even worse. They acted as if they owned heaven.

Give em' all a taste of the real life.

How the mighty US continues to fall beneath the countries it boasted superiority over for so many decades.

It won't fail- I believe in American determinationism

they won't disappear, they will change.

we're all making a big hullabaloo (there's actually a proper way to spell that word) about this but the reality is america will continue to produce automobiles.

it's just going to be crazy for a few years! get out while you can!

I haven't bought a new car in my entire life. I say let the greedy bastards crash and burn. Let's see what someone else has to offer for a more eco friendly way of travel.

let the big 3 fail.
no bailout can cure stupid.

let other smaller companies start up that have a clue
how to run a business and not depend soley on 100
year old technology.

the big 3 did everything they could to fight any advancement
in the industry, and now they must pay for their
decision.
there must be accountability for them.

i'm not with krugman on this. he admits the importance of the auto industry, not the big three, but says they will die out. i don't think anyone on this board knows of the disaster looming if the auto industry is completely taken away from the U.S. sure, we don't need the Big 3, but we certainly need a Big 1.

his research is on spatial economics. he wrote a while back that having all of these auto industries around the world is unsustainable. having three in the US is unsustainable. my stance is that we need one. give them half the money on the condition of a tri-company merger. if they aren't profitable in 5 years then scratch em.

What happened to the Billions in profits they made since the fifties?

They were to slow to innovate and now are paying. New industry will take its place. R.I.P you greedy oil guzzling sons of bitches.

I think that they need to do something about the lead around their necks... the workers that are paid for doing nothing due to their awesome union.

Possibly they should go bankrupt just to break that tie and rehire the people that are actually working for them under their same pay, sell their stock and save themselves.

That would probably work.

I'm with 1percent on this. FUCK 'EM. If we keep helping these companies out they're going to keep fucking up. A lot of money is being thrown around that could go somewhere else! Do we need new cars every year?

Ride A Bike, it's better for you and the planet.
For all you who think Cycling just isn't practical, I'm about to ride to work, several miles away, and it's snowing...

Fuck 'em Let them Fail!.

I have never owned an auto, and I shouldn't have to ever finance their poor business decisions either.

Level Detroit and create a new national park. Let nature take it back.

Ride A Bike!

Pareo Nullus

"Free markets" are avenues for treasonous middlemen to channel trillions of USA wealth overseas so that they make a few tens of millions.
Now the only things you can buy are Chinese knock-offs.
How long before you wake up? -huh?
Supply-side is really a huge vacuum at the top, whisking it all away - while you work harder and harder and harder.
Think about it.

the technology for our cars sucks anyway, it has for a while. I will be glad when the pollution machines are off the market....reevaluate the entire concept of how it works instead of merely 'improving' a flawed system over and over and over again... the industry in the states,, spewing forth these filth machines, must fall for a revolution to be seeded

Lets not jump to conclusions. They haven't even been helped yet.

Only after they receive the cash and then they fail, can we offically call them a failure.

I can't wait for that day!

I love when a quarter of the working population is out of a job.

Yet Obama is ready to bail them out! Democrats just love their Unions. They make them rich fat cats.

Krugman is right again.

For all the right wing BS about 'free markets', the US auto industry has proven it cannot compete ---even with LOTS OF HELP!