Here’s a suggestion for the nearly-bankrupt US Auto Manufacturing industry that doesn’t...

By only

Wednesday November 12, 2008

Here’s a suggestion for the nearly-bankrupt US Auto Manufacturing industry that doesn’t require flushing money straight down the bog.

The US government should order a complete replacement for its vehicle fleet to be delivered over the next four years. The new vehicles must be either plugin electric hybrid, pure electric, or possibly natural gas. Obviously retooling both at the manufacturers and suppliers is required to deliver this order so the government should be willing to prepay a significant part of it as it does for new weapons systems. That gets money into the system fast and creates/saves jobs almost immediately. It lets the suppliers retool as well as the final assemblers.