In a capitalist society the main point is that business is privately owned. Everyone has a chance to build up a product, sell it, and make money, but what if that product isn't as good as everyone else's. In the case of GM, Chrysler, and Ford the business fell behind and the companies hit financial trouble because the money was misused and the product just wasn't there. So why should we have bailed them out.
It was insulting when all of the business execs for the auto industry showed up to ask Congress for money on their private jets. Any company that can afford to fly on a private jet can afford to make some cut backs in that department and in the salaries of their executives. Perhaps the real money to bail out the auto industry should have been found in cutbacks.
Also technology wise American car companies are behind. Foreign car industries have designs and are already selling lots of more energy and fuel efficient cars. Even with our bailout money the industry have yet to show us what they are going to do to make themselves competitive in todays market. Without a competitive edge, or even some idea of how to compete with these other car industries we can be pretty sure that our auto industry could be right back where they started in a very short amount of time.
I have to admit that the execs that gave back their bonuses were smart,but the bonuses still drew attention to their pay and perks. If American companies had decided to build an electric car when we first imagined it we would have electric cars instead of hybrids. The news reports are stating that sales are down on all American auto makers, because the bailout simply took future sales from dealers and cost the American tax payer money.
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