And another thing...
The argument seems to be that the Big Three has been terrible at choosing what people want (not making enough small cars) and perhaps the U.S. Government can force them to do what consumers have wanted all along..
It's true the Big Three made few small cars and loads of bigger and bigger SUVs. They also profited handsomely from the practice because consumers bought up the behemoths like hotcakes - not because there were no alternatives, but because they wanted large vehicles and gas was cheap.
Obviously, the manufacturers were ill-prepared for a sharp increase in gas prices. It was always a risk, and in hindsight it was one that was managed poorly. But that's what capitalism is: you take risks and you may profit or lose your shirt.
I have a little something to do with product strategy at my company. I have made LOADS of mistakes along the way. Perhaps I should be fired too. But I believe my successes have far outweighed my mistakes, and I've learned and been humbled where I have not succeeded.
It's pretty hard to admit that you were wrong and change course. But organizations do it all the time. What happens when government gets it wrong though? How easily does a politician reverse course? How easy is it to detangle the web of red tape that has already been woven by a well-intentioned but short-sighted regulation? From healthcare to energy to automobiles, we're about to find out.
I suspect that we'll learn, a day late and several trillion dollars short, that maybe market forces don't work so badly after all.
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