Chapter 32 5. The Big Three U.S. auto companies are calling for help

The three major U.S. auto giants, General Motors, Ford and Chrysler, are century-old companies and are regarded as symbols of American industry. However, due to the impact of the financial crisis, the "Big Three" have lost money one after another, even on the verge of bankruptcy. According to statistics, throughout October 2008, GM's sales fell 43% year-on-year, Chrysler fell 38%, and Ford fell 36%.Since the beginning of November, news about their shutdowns, shutdowns, and layoffs around the world has also continued. So Detroit executives began to lobby Washington. From November 18 to December 20, 2008, there was a protracted debate among the three major auto companies, the United Auto Workers, the U.S. Congress, and the White House. Whether or not to save the three major automobile companies has become the core topic of debate!

●The American consumption bubble has completely burst since November. ●A "Development and Reform Commission" was set up on top of the three major automobile companies, and the Americans named it "Automobile Czar". ●The problem is that once the Big Three auto companies collapse, the trauma to American consumer confidence will be beyond your imagination. In mid-December 2008, a new incident occurred.The occurrence of this incident was completely beyond the expectations of the US government, that is, the three major US automobile companies are about to go bankrupt (readers, please recall my preface, the excess capacity of the three major automobile companies is a trick set up by international financial speculators).We used to think that once the Big Three auto companies went bankrupt, it was just the end of the auto industry, and it was just the unemployment of auto workers, but we took it too simply, and it was actually a terrible thing.

In early December, the three major automobile companies, General Motors, Chrysler, and Ford, could no longer bear it. Then the CEOs of these three companies chartered a private jet and flew all the way from Detroit to Washington to ask for help. In the bailout plan, more than 30 billion U.S. dollars was allocated to help the three major automobile companies.And do you know what happened?As soon as the media revealed that these three CEOs had no sense of responsibility, they even spent $20,000 on a private charter flight to Washington for shareholders. Why don't you three guys fly economy class?After this incident was disclosed, the U.S. Congress immediately rejected their proposal and told them, go back, quit, go back, and I won’t give you any money.The three of them went back in disgrace.

After going back, two weeks later, the three buddies came again because they couldn't bear it anymore.This time, I didn’t dare to take the chartered flight, and I didn’t dare to take the economy class. The three buddies drove over in the same car. It is said that the car has a displacement of 1.6, which is very fuel-efficient.Two buddies sat in the front seat, and another buddy sat in the back seat. The three of them took turns driving and drove to Washington for 24 hours.Gas was pretty cheap, probably only about $200.After this incident was disclosed by the media, the common people in the United States said, brothers did a good job, this is a sign of responsibility, you did not squander the money of our shareholders, well, the 30 billion US dollars will not be given, and you will be punished, and you will be given half of it.The three pickers touched their noses, thinking that it would be good to deceive half of them.Let's go back.but.The U.S. government called the three of them back again and told them, don’t leave in a hurry, your GM CEO has a messy face, and you are going to dismiss get out of class.Also, the U.S. government is not at ease with the CEOs of the three major auto companies. I see that all three of you have problems, so they decided to set up a "development and reform commission" on top of the three major auto companies, and the Americans will give it It was named "Car Tsar", which actually means the National Development and Reform Commission.I think the United States is getting better and better, and they are becoming more and more like our socialist country.

However, at the end of December 2008 they screwed up again.The UAW issued a statement refusing to cut wages.The three major U.S. auto companies earn more than $70 an hour.How much does Japan's Toyota Corporation pay for its factories in the United States? $48 an hour.So the American people hope that they will lower their wages a little and tide over the difficulties together.As a result, the American Auto Workers Union refused, just not to cut wages.This has completely pissed off the American people, what's your attitude.As a result, with a swipe of the Senate, the $18 billion was not given, so go back.

At that time, we all thought that this was just a matter of the car company. As a result, we never dreamed that what terrible results would happen.That is, starting the next morning, stock prices across the United States and around the world plummeted, an unimaginable plunge.Do you know what this means?That is, due to the collapse of the three major automobile companies, the confidence of the American people in consumption has almost completely collapsed.The bursting of the consumption bubble that I mentioned earlier, where the $3,000 fell to $1,000, is already very serious. Now that the Big Three auto companies have gone bankrupt, there is no more consumption of $1,000. You can think about how serious it is.

I think President Bush Jr. must have had a bad night's sleep that night because he was in meetings all night.This meeting is of great significance because Bush Jr. belongs to the Republican Party. The Republican Party has never relied on the Big Three because his voters are not them. The Republican voters are Wall Street, oil companies, arms companies, and rich people. .The Big Three voted for the Democratic Party and are important supporters of Comrade Obama.So President Bush Jr. may think deep down in his heart that you'd better go bankrupt as soon as possible, and don't vote for us.But when the day came, I found that I couldn’t bear it any longer. Why?Because the Republican Party has seen first-hand the total collapse of American consumer confidence.

Once the American consumer confidence collapses in an all-round way.It will make the dollar bubble consumption in my previous example disappear, and the consequences are so serious.So President Bush Jr. was forced to issue a statement immediately before the stock market opened at 8 o'clock the next morning. It doesn't matter if the Senate and the House of Representatives don't give money, it doesn't matter. Big car companies, hope they survive.This sentence saved the stock market, otherwise, it would continue to plummet the next day, or it might fall for a week, and the global stock market would collapse.Because the problems of the Big Three are no longer the problems of the Big Three. Although the Big Three will lose 4.8 million direct and indirect unemployed people if they really collapse, this is a trivial matter.The problem is that once the Big Three auto companies collapse, the trauma to American consumer confidence will be unimaginable.