GM was toast six months ago and everyone knew it. Just no one wanted to be accused of busting those dinosourial unions and blamed for the thousands who will become unemployed. Team Obama and Geitner knew it but they couldn't afford for the Republicans to hang that one around their neck. So they gave bail out money knowing the government would own GM (seventy percent at last count) and that they would go belly up in a few months. The simple test here is not the country singers and cable channel pundits claiming a government conspiracy ala against the populist man--it's simply that no one is buying any cars.
Oh that. Cars. Right. People have to buy cars for an automobile manufacturer to survive. Even if they had no RD in the pipe, nothing green to sneeze about, if people were still drinking the Kool Aid and buying crappy SUVs and trucks then they could have survived. But Mr. John Q Public all the Country city boys with black hats like to sing about is broke and has no credit. So no new cars. Like me everyone is making due with old cars and rattling mufflers and lousy windows that barely go up and down because big car payments went out with the boom and now we are left with people who can barely afford gas.
So the cat is out of the bag and GM is going down like the Titanic. So are the Unions. RIP. You can't take a anachronistic institution and fit them into a global economy. Now if everyone else had unions then fine. But they don't and they won't. So we have old cars, gas guzzlers, with high labor. Everyone knew this even as they plowed in the billions. The same way they knew the banks would become zombies. Political expediency requires ransom many times and the ransom had to be paid or the mighty finger of blame would push down on the Democrats and might break the downward slide of good old God Fearing, moral majority, we are the white party of Republicans still standing with mom, Hannity, O'Reilly, and you are either for us or against us.
So now what? Who knows? GM busted up? A new government car along the German Volkswagen--the Peoples Car--one of the less nefarious side effects of the Third Reich. Or will the foreign automobile manufacturers move in for the kill. Or will life just go on and we will just shop along on the Internet for our cars the way we do now--picking from a global marketplace. Except without a GM. Probably. Americans have a pretty short memory.