This is a direct result of Obama's bailout program. It's become a low
risk environment for American car manufacturers. If they get into financial
trouble, Obama will bail them out again at taxpayer expense. Then voters are
dumb enough to give him credit for doing so when he campaigns. Very dumb
indeed.This is yet another case of Mitt Romney being right. He
warned that this would happen if those companies weren't forced to undergo
protected bankruptcy and forced to reorganize from the ground up to become more
competitive and efficient. With government bailouts to the tune of tens of
billions of dollars, the incentive to improve became minimal.Another
prime example of Obama's lack of business experience in the real world, and
of naive voters who continue to support him and his ill-advised policies.
The worst bad habit American car companies practiced was giving in to union
demands to raise their wages so high that American made cars became excessively
expensive and poor quality. So much so that the Japanese and S. Koreans figured
out how to make cars better and cheaper, which wasn't difficult!
That's why nearly every other car we see on the road today is made by a
foreign company. In other words, GM and Chrysler did it to themselves but who
benefited the most? American consumers!
With more people buying new cars that in turn makes the good used cars cheaper
for me. So while people take out loans I can save up and pay cash and not have
to pay to have full insurance coverage for my car.
Car dealers, both new and used, have become a great deal more about the
financing than the car. You deserve a new car, the ads read. The truth is no,
you don't. Not if you can't really afford it.