Bailout GM & CHRYSLER ? Let CHINA do it !
@redyellowblackdog (10629)
United States
November 20, 2008 2:37pm CST
Yes, it is true.
China could buy out GM & CHRYSLER, publically held stock issuing corporations, with the petty cash it has on hand from its trade surplus. Here's a story about China considering doing exactly that.
http://www.thetruthaboutcars.com/breaking-news-chinese-may-buy-gm-and-chrysler/
I say that if the UAW truely wants their butt kicked, just let this happen. The Chinese would demand and get at least a 50% pay cut and more than a 50% reduction in benefits from the UAW. How?
The Chinese would, of course, export most of GM's jobs to China anyway. The UAW would have to make major concessions and beg the Chinese to leave even a handful of jobs in the USA.
Think this is unfair? Listen up! The international monetary and world trading agreements are intended to allow countries to fairly compete with each other without having to actually resort to a shooting war. Nothing could be more fair or reasonable. By running trade deficiets and not balancing our federal budget each year, the USA has been losing this international non violent competition for decades. That China is winning is exactly as things should be as the USA has not even been trying to compete in this competition. In fact, in the USA anyone pointing out the facts of what the USA was doing to lose this economic competition was called, heartless, unfeeling, a kook, and worse. Listen up! It is time to get serious.
What do you say?
1 person likes this
6 responses
@Destiny007 (5805)
• United States
20 Nov 08
This is exactly what Capitalism is all about... and it is damn ironic that a Communist country is using it against us.
The UAW along with the liberals and the environmentalists are what put us in this situation to begin with.... they forced the free market to adopt socialist policies and pretty much destroyed our economy and our industrial base in the process. Add in NAFTA, and the Sub-Prime Mortgage debacle... there are so many things that our elected hired help did wrong that was not to our benefit and did not keep us competitive ... and here we are.
Now we have republicans talking like democrats, and claiming that our money is not ours....
http://wnd.com/index.php?fa=PAGE.view&pageId=81485
Is it any wonder that we are in this mess?
1 person likes this
@redyellowblackdog (10629)
• United States
20 Nov 08
If China is serious about this and we don't let them, it further devalues the US DOLLAR. Our money gets much of its value from the fact it can be used to buy American products, mines, land, business, and etc and have the purchaser's rights protected by our laws. If we start not letting holders of legally acquired currency spend it as they please, that currency is not worth as much.
@redyellowblackdog (10629)
• United States
21 Nov 08
pierone,
We are in total agreement. In my own way, I was trying to make the same points, for the most part, as yourself. China is merely doing the smart thing, we should try that!
@uath13 (8192)
• United States
21 Nov 08
It's rare I see anything come through my warehouse that isn't made in China. Even when it does it's usually Mexico, Vietnam or Bangladesh. When The U.S.A. label does appear it's a complete shock! Do we not make ANYTHING anymore?
Why are we sending all our money overseas?
1 person likes this
@redyellowblackdog (10629)
• United States
21 Nov 08
Exactly right. We did this to ourselves by electing national leaders who could not balance a budget, control our borders, and gave special concessions to our trade partners.
@uath13 (8192)
• United States
22 Nov 08
Not to mention the fact that if the government bails them out all that's going to happen is the C.E.O.s will line their pockets with it. It's not going to cause people to start buying cars so there will still be no market for what they produce. They'll still end up laying off tons of people.
End result- the people at the bottom get screwed.
@whiteheather39 (24403)
• United States
20 Nov 08
I do not think that is a good idea at all. To allow China control of our largest industry while we owe them $541 billion Dollars on our foreign debt. Can you imagine what control they would have over our country if they called our debt? That is a very scary senario.
In 2001, China only held $61.5 billion in U.S. debt, and now it has grown to $541 billion dollars.
http://blog.syracuse.com/frugal-mom/2008/11/who_does_america_owe.html
This link shows a very scary chart of just how much foriegn debt is ow ed to Japan and China (Japan owning much MORE than China)
http://www.safehaven.com/article-7988.htm
1 person likes this
@redyellowblackdog (10629)
• United States
21 Nov 08
All that scary foreign debt is a direct result of Americans wanting more and more and more from their politicians than we paid taxes to pay for. Pure and simple, all that deficit spending has finally gotten behind us to bite us on the butt.
@whiteheather39 (24403)
• United States
22 Nov 08
Thanks MSV1313 that is what I was getting at. The presidency was bought by big (foreign??) bucks now we want to give Asia more hold over us???
@suspenseful (40193)
• Canada
21 Nov 08
You let China bail them out, China pulls the strings, and America cannot say anything about the human right's violations nor the forced abortions of their women. I would rather the companies go bankrupt and start over again. The jobs will stay in the States but the wages will not be as great and I will feel better that a country who violates human rights is not in charge of part of the American economy.
1 person likes this
@redyellowblackdog (10629)
• United States
21 Nov 08
I completely agree with your sentiments. However, in a free, fair, just world, anyone is entitled to spend legally acquired money as they see fit. We sold China our government bonds and sent them money thru buying China made via Wal-Mart. China is sitting on such a pile of US DOLLARS they could buy GM with their chump change. In short, if China wants to buyout the US automakers, we really can't stop them without envoking national security reasons.
@PrincessKitten (790)
• United States
20 Nov 08
Why should we let China do it when there is more profit to be made by bailing them out?
In order to bail them out, we need to create more money. The creation of money is very profitable to those that are creating it. The more bailouts, the more money they can create and profit from.
For a MUCH better explanation, see the movie Zeitgeist Addendum at zeitgeistmovie dot com.
Happy MyLotting!
1 person likes this
@redyellowblackdog (10629)
• United States
20 Nov 08
GM & Chrysler are publically held companies. Without invoking national security considerations, we can not stop China from buying GM & Chrysler. They have every legal right to do so. They could also make a fortune if they do it.
@djoana0623 (11)
• United States
21 Nov 08
First, i dont think it is a good move for the government to bailout these auto makers because you know what, the automotive market already felt the hint of a crash about 5 years ago. They should have made plans that time as to how to cope up with the situation, but rather they ignored and continue to build cars that are not fuel and cost effective. Also, the CEOs of these companies are paid way too much that if they have a facility in Asia, their wages can pay up to 1 manufacturing facity with hundreds of production workers on it. Secondly, if China will buy it, then all the more that they will crash because there's already the notion of the people that if its made in china, the quality is no good, im not saying this because i hate their products but it is evidently true and many would agree.
1 person likes this
@redyellowblackdog (10629)
• United States
21 Nov 08
Wow, good point that Americans might just flat out refuse to buy China owned GM cars. What'd'ya bet some Chinese spy sees your post and advises his government to forget all about it. You are then a national hero.
