Originally Posted by sykb47l
From: Congressman Charles A. Gonzalez
Subject: Thank you for your letter
Date: Monday, November 24, 2008, 8:43 AM
Dear Mr. sykb47l:
For much of the 20th Century, the American automobile industry was the flagship of our economy. We lead the world in the field and workers made good, middle-class wages. Unfortunately, the so-called Big Three failed to appreciate the need for change. Now, the current economic crisis could finally shut the Big Three down for good.
I understand those who say, "Good riddance." Many of them have been calling for change for years; others simply want to let the Big Three pay for their mistakes. The problem is, you will pay for those mistakes, too. If the ten percent of our workforce in the auto industry were suddenly out of work, the rest of our economy would take a massive hit and, in its already weakened state, the damage would be even greater. Further, while bankruptcy proceedings could help millions of Americans keep their homes, they would not work for a company that needs to keep producing cars to recover. Finally, we need to recognize that the Big Three actually started to improve some years ago. As it will take some time for our economy to get out of the current hole, even if government takes all the right steps, it will take time for the Big Three to complete the total transformation that we all recognize is essential.
One of the weaknesses of the economic stabilization plan was its dependence on the Treasury to make smart investments. Now, Congress is demanding that Detroit produce a smart business model before we invest a dime of your money. I want our nation to have a strong automobile industry. We won't have that if Detroit goes back to their old ways of doing business nor if we let them fail. The Big Three need government assistance. That means that we have the chance to ensure that they make the kinds of changes necessary for America to have an auto industry we can be proud of. But whatever happens to them, if Detroit fails now, we'll lose much more than $25 billion from lost tax revenue, unemployment, and damage to the economy.
Saving the auto industry is about what's good for the country. Whether that happens to be good for GM, too, is beside the point.
Sincerely,
Charles A. Gonzalez
Member of Congress
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