I've never owned an American car in my life. Never.
I've owned cars from Germany, Japan, and Korea...but never any made in Detroit. (or even Canada on behalf of Detroit) My reasons are simple and fairly reasoned:
- I've known many who have had terrible American cars
- I do not like their cars
- They do not warranty their cars to my satisfaction
- Overall reliability is poopy
- The true cost to own is prohibitive
Detroit has never received a dollar from me because I will not buy their cars. Now they claim to politicians that they MUST have my money because I don't buy their cars. They promise that once they have my money they will build a car I will like...and I hope they're right...since I will have already paid for it.
Frederic Bastiat, in the 19th Century, discussed this theory of economics in his explanation of the Broken Window theory. Bastiat concluded that those who would support a Detroit bailout would look at a broken window as an opportunity to support the glass industry. This argument tends to focus on what is seen (a new window and a glazier gainfully employed) rather than on what is unseen. (another industrious person not being paid because money is being spent on broken windows)
Washington DC will not be satisfied until we are all replacing broken windows (Detroit lemons) just to keep the glaziers employed. How will a new automaker ever get a chance to succeed in this country if public money is used to nationalize the big three failed automakers? How can we truly expect from Detroit the type of innovation and reliability we're demanding when we buy a car made by Honda, Toyota, or BMW?
Every economic advisor for your new president supports the bailout and ignores the advice of Bastiat (and scores of others) and continues in the footsteps of their hero Lord Keynes. For you Obama supporters that thought you were getting diversity of thought and a wide variety of views advising your savior...get ready to be replacing many windows over the next four years.