"The working class is not responsible for this crisis. Auto workers have absolutely no say in the financial, investment and production decisions of the firms for which they work. On the contrary, the root cause of the crisis is private ownership of the auto industry and the means of production as a whole, the subordination of social needs to private profit, and the economic dictatorship exercised by the corporate and financial elite. Their incompetence, greed and single-minded drive to increase the "shareholder value" of the big investors and banks have played a major role in driving the auto industry and the entire economy into the ground. Now they turn on the workers, blame them for the crisis and demand that they pay the cost through the destruction of their jobs, wages, pensions and health benefits."

Complete article: http://www.wsws.org/articles/2008/dec2008/auto-d04.shtml

One of the problems with the US auto industry is that it's marketing is based on selling to a shrinking segment of the population: people who are really into cars.

This segment is shrinking because real wages are decreasing, and thus, people are more compelled to buy out of need rather than choice. Yes, there are still people buying more car than they need, or buying for style rather than purpose, but, this market exists only when there's enough money.

The decline of manufacturing is the main reason why incomes have declined, especially for people who'd be inclined to buy a nice cars. It's ironic, really, that by moving auto production to Mexico, the US big 3 have decimated part of their own market.

The emergence of Toyota as a dominant brand in the US is a kind of strange testament to this market shift. Of all the makes, Toyota is probably best known for two things: slightly higher prices, and unattractive cars that have a long useful life. They appeal to buyers who don't like cars, who purchase on need rather than desire.

The other company competing for this market of car haters is Hyundai, whose Sonata has a 100,000 mile warranty on something or other. The Sonata is a Corolla clone, but more comfortable.

These cars are the socialists' choice.

People are saying online that the US automakers need to learn to make cars that people want. Well, they're not quite right on that one. The big 3 have always made cars that looked nicer, often driven nicer, and were a better deal than those from the big Japanese makers, if you plan to get a new car every 5 years. They made cars for people who like to drive, and own a nice-looking car, and buy a new car every 5 years.

What the US makers need to do is learn to make cars that people who don't really want to buy a car, will buy.