Even though the House passed a bill providing emergency lending to GM, Ford, and Chrysler, and even though the CEOs of those outfits did such a nice, responsible, phony baloney thing by driving all the way from Detroit in electro-gas hybrids, Senate Republicans last night muttered something about socialism and then murdered the bill dead. Chris Dodd grimaced sadly and Harry Reid said, “I dread looking at Wall Street tomorrow,” because he’s a temperamental drama queen.
But aside from the litter of executive corpses, Wall Street doesn’t look too shabby today. In fact, stocks are up, perhaps because Bush offered to just give them free money from the Treasury because, well, there’s a lot of it to go around.
I find it amusing that, with the exception of the residents of Detroit, whose city will officially become the asshole of the world if any of the Big 3 go under, Americans don’t seem to give a defective fuel pump what happens to the automakers. Why this is curious is because for so long a time Americans were very protective of their auto industry. Since the dawn of time we have imposed tariffs on foreign cars (sometimes really high tariffs — President Clinton once threatened the Japanese with 100% duty on their luxury brands), bragged patriotically about domestic consumption, even, for a short time in the late 80s, threw Japan-bashing parties, where rednecks would get together, hoot, and violently dismantle a Toyota.
Granted, a lot has changed since then: the world underwent a dynamic political restructuring that left us its unchallenged superpower, and free trade suddenly became more palatable. Not that most people understand the vices and virtues of the global economy, but the zeitgeist at least tells us that an export market is no longer the pinnacle of economic power, that quality goods for low prices count more. And that’s what the Japanese are giving us, so America can kiss my white American ass!
In any case, Ford says it’s doing okay and doesn’t need any help. Most experts believe GM would survive a managed bankruptcy and emerge all the better for it. Chrysler, on the other hand, is basically screwed. Is this how you repay the people who brought you the LeBaron, America?
