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Monday, March 09, 2009

Obama's Fix for the Autos Will Define His Presidency

The remains of the American automoile companies must be salvaged and restored back to health or there wont be a lasting recovery. How Obama handles this problem will determine the course of his presidency.
Obama has to do a lot more than simply throw money at the problem. He has to get down into the belly of the beast and fix the damage.
Gm is in such bad shape that to rebuild it properly it must be nationalized with Gm's chairmen Dog Head Wagoner booted out. A different management team will make a big impact as it did with Fiat. A short time ago Fiat was basically a corpse that no one wanted to buy. Gm paid $2billion to walk away from a previous agreement to buy the company. If Obama opts for letting Wagner stay and giving Gm's management monthly welfare checks then it shows he is in the pocket of big busniness. But if he does the right thing and nationalizes the company it will mean he is a visionary and a leader.
What we have right now is a golden opportunity to rebuild American's manufacting base. Then other priorites such as health care,alternaive fuels and a better quality of life can be dealt with once the little 3 again become the Big 3.