My first blog is on the progress of General Motors and Chrysler. The future of the Big Three is of great personal interest. I know many people who work or has worked for these companies and whose livelihood depend on the success of the automotive industry.
Obama's aid on the manufactoring policy, Ron Bloom is hopeful that there will be GM stocks offered to the public in the fourth quarter of this year. He is also encouraged by the first quarter results from Chrysler. GM recently announced that it will repay 8.1 billion in U.S. and Canadien government loans five years ahead of schedule. Bloom stated that these companies have been given an unique oppurtunity to start over and they are seizing it with both hands. Bloom also stated that GM is doing a little better than expected but noted that the forcast was "fairly conservative".
People belive that these companies should have received a bailout because it was there fault for wasteful spending. These companies were given the money on special terms of the bailout. GM was forced to get rid of their CEO. The automotive companies had to re-convene at their Congressional hearing for showing up in their private jets. Other people believe that the national government should not get into the business affairs because it infringes on self-governing. Under the commerce clause the national government can step in when it disrupts the nation's economy. If Americans think that our economy is not affected by the success of the automotve industry they are gravely mistaken. These companies are not out of the dark and dismal woods yet, but they are on the right path.
