Another election… another chance to hear inefficient car companies asking for taxpayer’s money.
Apparently, the motor industry has warned the Government that “two, or even three” of our car-markets (Toyota, Ford, Mitzubishi & Holden) could be in trouble. And the solution? They want to avoid international competition (no tariff cuts) and they want their current $3 billion assistance plan increased.
Basically, car-making in Australia is now a work-for-the-dole program.
I have an alternative proposal for the car-markers. They can either survive on their own, or fail on their own. Not one cent of taxpayers money should be wasted in proping up failed businesses. There is no economic benefit from having our resources (scarce capital and skilled labour) tied up in a business that can’t compete.
November 10, 2007 at 12:30 am |
This is something that has been troubling me ever since I saw the story on the news a week or two ago. They justify it because it would “cost jobs”, but as you said, these are exactly the kind of folks who are in demand at the moment.
It’s a shame that the LDP is the ONLY party that shuns cronyism between business and political interests.
Your business, your responsibility, not the taxpayers of Australia.
November 10, 2007 at 12:43 am |
“They can either survive on their own, or fail on their own.”
I second that motion, Mr Speaker.
November 10, 2007 at 1:01 am |
[...] John outlines the LDP’s solution: I have an alternative proposal for the car-markers. They can either survive on their own, or fail on their own. Not one cent of taxpayers money should be wasted in proping up failed businesses. There is no economic benefit from having our resources (scarce capital and skilled labour) tied up in a business that can’t compete. [...]
November 10, 2007 at 2:03 am |
Agreed, Two of our car makers are making big money in exports now anyway, they will not go under. Ford Aus and Mitsubishi might be somewhat marginal, but purely as a result of their own lack of vision and flexibility. I do not want my tax dollars propping up companies that can’t get their design, marketing or operations right.
November 10, 2007 at 9:03 am |
There’s not many things I agree with you on, but this is one of them. Though saying that the car industry is “now” a work-for-the-dole programme isn’t quite right — it’s been that way for a very long time.
November 10, 2007 at 10:54 am |
The justification they would use, of course, that $3 billion is presumably less than putting tens of thousands of workers on the dole, who stay there, and lost taxes from these workers.
This implies these workers could not find other jobs, which is fair considering the true unemployment (e.g. under-employment) is probably well above 10%, which just highlights the importance of abolishing the minimum wage (job creation) policy and the 30/30 tax/welfare (welfare trap removal) policy.
November 11, 2007 at 5:22 pm |
This is one of the few aspects of Socialism that personally, I really loathe. Exploiting consumer’s money, money they’ve worked for, and giving it to the very company that’s going under because taxpayers (consumers) aren’t buying from.
It’s senseless, it’s unethical, it’s going to cost Australia her future in the global economy.
November 11, 2007 at 5:34 pm |
Note that left wingers who usually cry loud when they detect any collusion between government and business, are silent in this case. This is because this is not about PM being in bed with Toyota. Its aim is to ostensibly to protect the workers. Now we may think that in the current boom the workers don’t need protection, but obviously they think otherwise.
So it is the tax payer (and customs payer) funded privileged manufacturing jobs basiically. Does not make sense to me. But I guess many people would think otherwise.