Michigan, symbolically and substantively, is on the ropes. Last week's toppling of Congressman John Dingell as head of the U.S. House Energy and Commerce Committee marked further weakening for the state, headquarters of the domestic auto industry. Here's a great piece in Salon that analyzes the industry's woes sympathetically and wisely. The industry has made huge mistakes, but some of its problems are beyond its control. Letting it die makes sense only to those who don't care about the ripple effect across the economy -- or who don't care if there's still an American middle class.
The strongest opposition to an auto industry bailout isn't coming
from environmentalists. It's coming from free-market conservatives who
see burying Detroit as an opportunity to bury the United Auto Workers
and the entire union movement. Sen. Richard Shelby of Alabama called
the auto industry a "dinosaur" and suggested government aid would only
delay its well-deserved demise. "Companies fail every day and others
take their place," Shelby said. "I think this is a road we should not
go down."
The companies that would take GM's place --
Mercedes-Benz, Hyundai, Honda -- all have plants in Alabama, where they
benefit from a hostility to organized labor. None of Alabama's
automakers are unionized. Do we want to go down Shelby's road? Alabama
ranks 46th in household income. Not coincidentally, Shelby has
consistently opposed universal healthcare. In 1993, he denounced Bill
Clinton's health plan as "ill-conceived, unworkable and unwanted by the
American people."
If one Congress member has forever seen that
universal healthcare could have been a boon to the U.S. auto industry,
it is Michigan Rep. John Dingell. Rooted in the New Deal and the
industrial heartland, Dingell embodies the auto industry's traditions.
Stocky, block-headed, with safety-glass eyewear, he looks like he
should be inspecting the paint job on a Buick. And every year since he
came to Congress in 1955, Dingell has introduced a bill for a
single-payer national health insurance system. It's the same bill his
father began promoting in 1933.
But the political tide has
clearly turned against the old Detroit champion. Last week, he was
unhorsed as chairman of the Energy and Commerce Committee by Rep. Henry
Waxman. Waxman is a Watergate Baby.