A possible bailout for the American automotive industry may be under way and people in cities such as Detroit, Auburn and Dearborn may be crossing their fingers in hopes of government assistance.
The troubles faced by the American automotive industry were magnified by last month's bailout. For years foreign automotive manufacturers have been gaining ground in the United States and with the current state of the economy, combined with banks being less willing to give out loans, the already sluggish economy may be headed even further into recession.
"I would like to see federal assistance for domestic automotive manufacturers," said Bill Hatfield, owner of Hatfield Buick in Redlands.
"Our problem is not a lack of product available, it's the money available to loan consumers. We are definitely in a recession and customers do not feel able to buy right now," Hatfield said.
The Daily Facts asked people in Redlands if they think the automotive industry should receive government assistance.
Evan Schultz, 21, Redlands
"The possible bailout of General Motors and the automotive industry absolutely terrifies me. That we're going from a capitalistic society into a socialist society doesn't seem to be good, and from my understanding of economics, a free market is the best way to have a free nation of free people, and if a company suffers due to its management and its decisions, it should fail regardless of if foreign competitors are going to come in and take over the market. "If you look at GM, they had an electric car that they made in the mid-'90s and they got very close to making it a viable and affordable alternative. They canceled that project and made the Hummer, that no one can afford, so a company that makes a decision like that deserves to go under." Francisco Ramos, 20, West Covina "Anybody who makes a car here is probably supplied by a U.S supplier, so if we let them go down, they're going to drag down those suppliers with them. So whoever has the most cash at the end will survive the economy. Right now "No one else has the money to supply their future product plans; it's really important that they get the product out in time. Customers are seeing GM as an antiquated company, while competitors have already allocated funds and moved ahead with their projects." Robert Head, 27, Redlands "I hope it goes through because I work in the automotive industry and it will help us because we're taking a big hit right now, everybody. I'm in used cars, but I've been in service, parts, I've been involved in all the different aspects of it. Just to get money flowing back, just because it's the major companies, it will get banks lending again. We're having to do a lot to get people into loans and the bank's charging us a fee from every deal and that comes out of our commission. So me personally, I hope it goes through because of the hit we're taking." Jenna Kimball, 21, Redlands "I don't like the idea of it, actually I am really opposed to it. I've been reading a lot on it and a lot of people that are against it are saying that it was just bad management. I just read today that Chrysler's asking to be bailed out and yet they still gave $30 million in bonuses to their executives. I'm not exactly sure if that's the correct amount, but that's the gist of it. "I don't like the idea, especially in today's economy. You have to make sound ethical choices and if your company is tanking, then make some adjustment. Have some contingency plans in place and have your own bailout plan. Of course, there's the chance that other companies will say, `Hey, bail me out, please.' " Meghan Molin, 21, Redlands "It's a good idea; I just don't know where the money is going to come from. I think it would promote the advancing of technology for the environment and would be good because of the increasing globalization of the economy." Jennifer Contant, 21, Redlands "It would save a lot of jobs, and if they don't bail them out, then it's going to be a lot easier to outsource the industry." Andre Nainggolan, 30, Loma Linda "I really don't care about the topic, I don't feel that it affects me directly and I really don't have too much knowledge about the bailout. I'm eco-friendly and I really don't care about the automotive industry."
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