Thursday, November 20, 2008

Automakers in Need!
by Milota Sidorova


Maybe they are facing a real crisis. It’s not just financial meltdown troubling sales, but one might say mistakes from the previous decades have resulted into desperate Congress lobbying.
The largest American automakers are calling for help.
Their efforts have found sympathy among Democrats, trying to pass legislation for governmental aid. According on-going efforts automakers would like to receive $25 billion from ‘rescue plan’ so far.

Al Gore said that American automakers including General Motors were at the bottom of prosperous and ecologically expanding list. American oil couldn’t fulfill even Chinese ecological norms so looking for other customers elsewhere would naturally lower rating and sales.

Personally I bless Republican Senator of Alabama, Richard Shelby for the comments on these ‘giants’. Shelby said they were not building right products and even if they had good workers, they missed good management. He also labeled them ‘dinosaur in a sense’.
Generally one might say that except two or three Senators, Republican Party didn’t show any enthusiasm about financial support.

Well, fair enough. One should bear consequences if wants to trade without regulations. And it’s true, GM , Ford etc should finally turn for new way. Effective eco-technologies wouldn’t harm corrupted concerns. The progress is, literally more than necessary.
But in the minute you open nation ‘bailout’ package for private companies you automatically cross the border of refuse. There are plenty of companies begging for help.
Shelby made it clear enough. ‘Companies fail everyday and other take their place.’
However, there’s more in the game. It’s almost impossible separate political aspects of economical decision.
Seen as ‘objector’ of the lifeline industry in many Midwest, traditionally Republican states might easily switch stubborn voters. Democratic Party would surely benefit from the situation.

The ‘auto crisis’ has become serious business among lawmakers so even soon ex-President Bush didn’t want to make it harder. His administration has proposed $25 billion from ‘separate’ fund to support energy effective projects. To sign down the bank cash he still needs Congressional allowance.
And in case, Republican send down the plan on Wednesday’s hearing, it may be Barack Obama to say the final word. That won’t be sooner than in late January.
But even if he would agree governmental interference which is likely to happen, GM representatives have announced they may not survive the end of 2008.



related story: http://news.yahoo.com/s/ap/20081116/ap_on_go_co/auto_bailout;_ylt=AsBwYZcmQKw1x74rHDUr_9qs0NUE

by Milota Sidorova
for PocketNews (http://pocketnews.tv)

PocketNews is a new real-time news broadcaster delivering the latest and hottest news right to your pocket ! With global clients who want to be kept up to date, PocketNews is everyone's way of keeping in touch with the World.

These news are original content from young talents around the world and are selected for you by Chris Cantell.


edited by Beata Biskova

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