Sunday, November 30, 2008
Cars Cars Cars!!!
What’s wrong with the auto market today? A quote from a CNN.COM news article Detroit's auto bubble pain sums it up. “Cheap financing, easy credit conditions and attractive pricing on cars due to overcapacity in the U.S. auto market caused record sales earlier this decade.” American markets, time and time again find themselves issuing out loans and financing plans to individuals who other wise can not afford high ticket items. This is all good in the short run as a finical boost for a company, but in the long run, when people can longer afford the items the currently have, and have no way of purchasing new ones, these very industries who seemingly have the best interest of the consumer and the padding of there own packets in mind, are left hurting in the end. The American government has decided to step in and help save the failing markets, I think that this is not the responsibility of our government. Markets fail, and they come back better then before because they learn from there mistakes. Stepping in the handing out free money cause someone in accounting and marketing made a mistake is not the answer.