This Blog tries not to be party political, but recognises the need to read across the political spectrum.
The comment below, which many would consider at the extreme right wing, restates a critical point that this Blog endorses, that whist compassion must be shown, investment in education, research and infrastructure, must be made into only those processes, products and services that will, on a balance of probabilities, enable the low carbon future we will enter soon, either by design or negligence.
Mistakes will be made for sure, but not the fatal ones that are predicated on the possiblity that we can return to ‘business as usual’ in a month, year, decade…..
President Obama failed to mention railways in his inaugural speech, the one essential ‘system’ that will reduce the ‘Resource Intensity of Mobility’ in a Low Carbon future.
………………….Ford is terribly run. So is GM. They are crippled by UAW contracts that will prevent any real profitability. The unions want to keep these jobs where people can get paid for little or no work and all incentive for creativity and hard work is eliminated. Ford’s hybrid technology isn’t even their own, its been purchased from other auto makers who have consistently produced better cars for less money.
All this failure would be good for America. If the government really wants to spend some money (let’s pick a random number like $700 billion), they should spend it on increased unemployment benefits and more money for job training for the displaced workers of those failing businesses. I would only suggest making these increases good for a short period, like 18 months to 2 years. It seems to me this would be the truly caring thing to do for the workers and the best thing for the overall, long term health of the American economy. Imagine a newly educated workforce ready to produce and be rewarded for productivity and creativity instead of for simply showing up. But it won’t happen because the unions aren’t really interested in directly helping the workers, nor are the Democrats in Congress. Rather they will bail out failing companies who will only fail later instead of sooner.
Such bailouts would be unfair to the auto companies like Toyota and Honda (who together employ over 100,000 American auto workers) who have been frugal and wise stewards. Healthy, free markets reward productivity and creativity with profitability. Healthy, free markets punish bad management, stale products and excess spending (including all levels of compensation contracts) with financial failure. This is good for consumers, shareholders, and workers.
Complete comment at http://vanderground.wordpress.com/2008/11/11/failure-can-be-good/#comments