I'm in West Michigan. Not near Detroit at all, but still in 'car country'. We have several GM plants in our area, and they are beginning to announce their closures. I keep seeing visions of deserted towns in my dreams. And the reason for that is that everything (well, almost everything) here depends on the auto makers.
When the GM plant down the road shuts down next year, so will all the companies that GM outsources jobs to. (actually have already begun shutting down) And as they all shut down, the load on the remaining companies that have no ties to auto making gets lighter as well, because many of their customers will stop purchasing goods because they cannot afford them.
Our groceries are going up, not gradually, but by leaps and bounds, and yet jobs are disappearing rapidly so that folks can't buy the food.
Yes, The automakers did shoot themselves in the foot. When they started making the big SUVs and Hummers, they didn't have enough forsight to see that not everyone was going to want one. We aren't all soccer moms who need to impress anyone. We're a middle class couple, ranging toward the upper middle age range who has worked and saved for all these years so that we wouldn't have to eat cat food in the next 20 or so years. But it looks like even cat food might be too expensive.
Corporate greed by the car companies caused the downfall of the car companies, and corporate greed by administration and financial institutions in the country caused their downfall. But, that downfall is affecting only those who don't already have the means to weather the storm. If the automakers need a LOAN to get their butts in gear and learn to listen to what ALL the consumers really want and then build that, then I think that's the thing to do. Too much rides on the auto industry. But, the bigshots in auto companies shouldn't be able to capitalize on these loans. They need to be used for only bringing the auto business back to life, not for bringing the CEO back to Vegas.
And the administration needs to run a system of checks and balances on their own offices, get them into gear, stop taking foreign oil and research and develope alternative energy sources here in this country.
BTW, if oil prices are going down right now, why is our gas getting more expensive? Is it because we aren't using our own oil for gasoline?