No help for GM? North-Central Indiana braces for economic catastropy.

[Chipper Chat]

Citizens here are worried (as they should be). Cities such as Kokomo, Marion, and Anderson are so tied to the automotive industry the shutdown of GM and other car plants would be a disaster on par with the dust bowl exodus. Parts stores, car dealerships, restaurants, video stores, music stores, even the post offices will see layoffs and loss of business because of tightened family budgets. The unemployment is already at 7% here. Social services are strained and will be overwhelmed by many more families applying for unemployment and food stamps. Small satellite towns of 500-2000 people (Russiaville, Sweetser, Akron, Royal Center, Roanoke etc:) will see population decreases as their auto workers move to other states for jobs causing their struggling gas station or small supermarkets to close. Taxes will have to go up and our schools and parks will suffer. It's a downward spiral. I doubt if we can count on our elected Pub officials (Burton and Buyer) to help. And lawmakers outside the midwest just don't understand how grave the situation is here with their ("let them go bankrupt") crap. I don't even have to put down in print what Bush (Let-em-eat-cake) thinks or cares.
My hope is that Obama will steer the situation to a wise resolution.

[Bozita]

1. HBO is currently running a documentary on Anderson, Indiana, and its auto-centric culture.

http://www.hbo.com/docs/programs/dirtydriving/index.html

Dirty Driving: Thundercars of Indiana

Racing cars is an obsession in Anderson, Indiana. Even with the closing of local auto factories and resultant loss of jobs, the town's residents continue to flock to the local speedway every Friday night - and its drivers continue to pour their dwindling resources into patching up their Thundercars for the next week. As much a demolition derby as a race, this cacophony of screeching tires and crashing metal gives Anderson's residents a chance to lose themselves for a couple of hours, channeling their hopes and frustrations into a wild weekly sprint for Thundercar supremacy. Premieres Thursday, November 13 at 10pm ET/PT. Read more.

[Chipper Chat]

18. Thanks for the link.

If the steel industry hadn't declined in the 70s & 80s we'd still have Madison Heights High School.

[Jack Bone]

2. Kokomo, IN...present & accounted for..

Yeah it's gonna be rough. I work @ Chrysler(KTP) we've been "down" this past week. We'll go back for 3 days on Monday thru Wed. The rumors are that we'll be off all of December..maybe to return on Jan. 5th...We'll see.

Chrysler employs about 1,500 people here. Delphi Electronics, a GM spinoff, is here in Kokomo as well. Federal Mogul has a plant in Logansport, IN...a few miles north of us.

My Rep's Joe Donnelley, he seems to be fighting the good fight for us.

Thanx for the attention!

K&R

[Indiana_Dem]

7. Logansport, IN...present and accounted for...

:hi:

I was also going to add that Joe Donnelly is doing what he can. We're already a skeleton of what we once were. Modine is already closing. There aren't too many factories left here. It's mostly the have's (health care workers,lawyers,bankers,teachers,insurance) and the havenot's (welfare,Walmart workers,elderly, retired) left. I don't see much in between. The local businesses are wobbling.

[Chipper Chat]

20. In the 1950s downtown Logansport used to be paradise.

I lived in Miami County and we loved those monthly shopping trips and go to a movie. Such great department stores. I always spent an hour at the big music store (cant remember the name). But I recall the last record I bought there was "Allegheny Moon/Old Cape Cod" by Patti Page.

[bluecollarcharlie]

9. Hey, fellow Chrysler worker!!!!

I work at Local 372 Trenton Engine, just south of detroit. We are hearing the same rumors too. Have you guys heard of any coordinated action to take place to show our support from the shop floor and local leadership level or no?

[Jack Bone]

12. Other than the phone calls to Congress..no

Lemme know. I'm active w/ CAP. We'll help all we can down here!

In Solidarity :kick:

[Jackpine Radical]

3. Let us by all means open the coffers to GM. They need the money

to enlarge their plants in other countries. Brazil is first up on the list.

[Omaha Steve]

4. Congress asked for a plan that makes $

Brazil is a new market. Any large car makers there already?

[Chipper Chat]

17. Brazil may be a sleeping giant.

If we had elected McCain/Palin - in 2016 Brazil would have passed us as an economic power. All the remaining money would be funneled up to the richest 2%.

But not so - GObama!

[progressive_realist]

22. Fiat, VW, GM, and Ford dominate the market.

The Economist had a good feature last week on prospects for the automobile industry, including the state of the market in the BRIC (Brazil, Russia, India, China) countries.

http://www.economist.com/specialreports/displaystory.cfm?story_id=12544905

Some highlights:

The Brazilian market is still dominated by the four firms that have been there longest—GM, Ford, VW and Fiat—and they have always managed without local partners. Last year their combined share of a market of 2.45m light passenger vehicles was 80%.

<snip>

With import taxes still at a swingeing 35% and other car taxes averaging more than 30%, depending on engine size and type, vehicle makers have little choice but to manufacture in Brazil.

<snip>

The development of flex-fuel engines is the most striking example of the carmakers’ willingness to invest to meet the Brazilian market’s particular needs. (...) such engines power nearly every car being made in Brazil. About half the fuel used by cars today in Brazil is ethanol.

<snip>

Jackson Schneider, the president of ANFAVEA, a trade body, predicts that by 2013 Brazil will be the world’s sixth-biggest car producer, turning out more than 5m cars, 4m of them for the domestic market.

<end excerpt>

Once you get past the knee-jerk reactions, GM doesn't really have any choice but to manufacture in Brazil for the Brazilian market.

[bluecollarcharlie]

11. Very old news. Keep trying.

Tell me how is you are going to tell everyone that companies can no longer provide health care nd retirement benefits for its workers in your journal and then when you do see one, GM (with the UAW bringing them to the table)you want them to fail??? Why the disconnect?

[LiberalFighter]

5. United Way in Allen County is suffering severely already with other job cuts.

Food pantries are not doing well.

[MikeNearMcChord]

6. Looking at the electorial map at Daily Kos

I wonder if these people in North Central Indiana get it? Granted it is little less red than 2004, but I wonder should people who are into GOD, Guns and Gays,and will vote against their interests,deserve any slack?
http://www.dailykos.com/story/2008/11/22/20302/278/252/664884

[Indiana_Dem]

8. I'm a liberal sitting here born and raised in the middle of the God,guns & gays group!

I deserve some slack! lol

[bluecollarcharlie]

10. So that's a good reason to send them into poverty??

You people are sicker than republicans.

[Enthusiast]

26. You can rest assured that Republicans

would be all enthusiastic for the auto bailout if the manufacturing center was Birmingham or Atlanta.

The South will rise again! :sarcasm:

[Chipper Chat]

14. Your own link shows Indiana making progressive strides.

Please don't paint us as a monlithic red GGG group. There are thousands of brave souls here trying to extract our state out of the southern GGG mindset.

[Jack Bone]

13. Donnelly outlines loan to Big Three

This is a few days old..

http://www.ktonline.com/local/local_story_325233920.html

No merger planned for Chrysler, GM
By KEN de la BASTIDE
Tribune enterprise editor

Funds already approved for U.S. automakers to produce more fuel-efficient vehicles could be tapped for operating expenses, Congressman Joe Donnelly said.

During a teleconference Thursday, he said the discussions on a loan to General Motors, Chrysler and Ford in the next few weeks will be to allow the $25 billion already authorized go to keep the companies operating during the world fiscal crisis.

A second $25 billion for research and development of fuel-efficient vehicles could be approved after President-elect Barack Obama takes the oath on Jan. 20, he said.<snip>
------
More at story link provided above.

[Chipper Chat]

15. Kudos to Donnelly. Dan "Disgusting" Burton lags way behind.

http://www.themiddleclass.org/legislator/dan-burton-49?gclid=CPvDxrXmi5cCFQsMGgod12Dz8Q

[sarcasmo]

16. People outside of Michigan, Indiana, and Ohio have no idea the impact of not helping GM will have.

Kick and Nom

[Chipper Chat]

19. People outside of the midwest think everybody farms here.

Californians would be squawking for help if a sudden climate alteration spoiled their Central Valley veggie & fruit mega-business.

Florida would be asking for help if the orange business was wiped out.

South Texas and remote Hawaii would be making lots of noise if their hemp crop went bust - Oh wait! Scratch that last one.

[DemReadingDU]

21. I'm in SW Ohio

close to the GM plant in Moraine near Dayton, Ohio. It is devastating to have GM pull out, coupled with DHL pulling out of Wilmington, Ohio. It impacts not only families but also nearby businesses, and the cities that were supported by these tax dollars.

I don't understand how Paulson can help his bankster buddies, but not the automakers. The bailout money could be used to re-tool the factories to make something else, and keep people at their jobs.

[sarcasmo]

24. GM= Unions and Pensions, Banks= Corporate buddies.

Class warfare.

[DemReadingDU]

25. Corporations never liked unions

Handing bailouts only to the banks, is another way to get rid of the unions. I shudder to think the ramifications of the automakers going bankrupt.

[AwakeAtLast]

23. It's about 2 years too late for Anderson - all of GM is gone

Guide Lamp is nothing but rubble and Delco Remy has been gone for awhile.

Oh, and Madison County (Anderson is county seat) was BLUE in this election!