So the situation on Wall Street which allowed untempered greed to go unabated via the government hands off deregulation approach has had a serious side effect on sectors across the globe. The U.S. automotive industry being no exception. It’s mismanagement problems were made worse by high gas prices, which I would also argue were partly to blame due to again by the hands off approach of the Bush administration, have been compounded by the financial mess. Yet, while Bush pressed the red alarm and raised the white flag surrendering capitalism in order to save the investment sector, he opposes a U.S. automotive bailout and would rather allow it to collapse, which will be more costly than the loans cost to keep it running.
In a collapse hundreds of thousand retirees currently on private health plans will move to a government paid plan, millions of jobs will be effected as the domino effect takes place and unemployment numbers will swell to levels not seen in decades. Tax revenue will fall and the U.S. economy will take another shot to the groin. Undoubtedly an Obama presidency will be severely crippled because of the fragile state the U.S. economy finds itself in. Bush’s legacy will show that he choose to pour investments into Iraq rather than at home. It will show that he choose to allow the U.S. to become weaker while it’s real state competitors became stronger, a misguided course even after almost 8 years they continue to follow today. It’s to bad the U.S. auto industry or even the American people didn’t have fake WMD’s, they may have received some attention from this administration. Economical tsunami’s, even with alarms going off, continue to be ignored.