New GM Poll: Most Americans Support an Auto Industry Bailout
Poll results released by General Motors today clearly indicate that the majority of Americans think the government should provide bailout loans to the auto industry and that without those loans the “Big 3″ (GM, Ford, and Chrysler) will go bankrupt.
In a random survey of 804 American adults conducted by Peter D. Hart Research Associates and commissioned by General Motors (PDF), there is broad support for bailing out the the American auto industry — and even broader support of President-elect Obama’s plans to make sure “the American automobile industry continues to be able to operate.”
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Some key findings:
- 55% of people surveyed said that the government should intervene and help the Auto Industry with loans. Only 30% said the government shouldn’t intervene, and 15% were unsure.
- Interestingly enough, when the question was “Do you agree with Obama’s plans to provide economic assistance to the auto industry?”, the number agreeing rose to 64%.
- 60% of Americans believe that without help, the auto industry will go bankrupt.
- 55% of Americans think that providing bailout money to the auto industry is “just as important” as providing it to the banks.
- Most people agree that the manufacturing base provided by the US auto industry is key to the US’s national security.
The survey also finds that the majority of Americans think that if the Big 3 were to go bankrupt, the US economy would likely fall into a depression.
Well, this is an amazingly sore topic with many of our readers, but I’m wondering what your reactions to this are? Are you one of the silent minority that feels we should just take our lumps and pony up to rescue the industry? If we do, do you think we should attach conditions on to that money? Should we force the auto industry to start making more plug-in, clean diesel or CNG vehicles?
Or do you think we should let them go bankrupt so that a new era of auto manufacturers can take over? Come on folks, if you’re an American it’s your money. So you’re vested in this decision whether you want to be or not.
Source: GMfactsandfiction.com
Image Credit: Photo Mojo’s Flickr Photostream under a Creative Commons License
Too small a sample to yield any significant data. Also, questionable as GM retained said consultant.
Entasis,
What size sample population do you think is necessary? From what I understand, 804 people is pretty average relative to other polls that are conducted. From a purely statistical standpoint, it seems valid and it has an error of ±3.5%.
Your question of motives influencing the survey outcome is a good one. I don’t know anything about the outfit that conducted the survey for GM. Anybody else out there know if Peter D. Hart Research Associated has a good track record?
This just in: Auto Industry tells us we want to save them. What else did anyone think they would tell us - “No, don’t give us money?”. Lame.
First an industry-funded group issues a “report” claiming that millions would lose their jobs should the Big Three go belly up. Then GM commissions a survey that tosses around the “bankruptcy” word. What a crock.
Even with their scare tactics, the Big Three find that only 55% would support some kind of government help. I’d bet that faced with real numbers, voters would become less and less likely to support a bailout.
Ask Americans who pay taxes some questions with real numbers, and see what they say. How about “Did you know that the federal government already has enacted a law that will offer the auto industry up to $25 billion in retooling loans?” Or “Did you realize that the UAW wants $25 billion in cash for its health fund, on top of $25 billion in retooling loans already available, and a yet another $25 billion in loans just to run the companies?” Perhaps “do you think the auto workers should share the cost of any bailout plan, such as by taking wage cuts until the loans have been repaid?”
Nick,
A consultant generally does what the client wants. Have read the questionnaire? Having done so are not some of the questions leading (e.g, “Obama said…”)?
@Entasis - Really, my only disagreement with you was that, from a purely statistical standpoint, the survey seems valid.
As you point out, the problem is that some of their questions may be leading, but others may not be. The survey (as do all surveys) builds on itself and could be construed as trying to lead people in a certain direction as the survey progresses.
@Sebastian - I do wish that some other outfit would conduct a survey like this (like Gallup) that wasn’t commissioned by an auto company. That might give us a better perspective, but for now, this is all we have.
“The big three should be allowed to go bankrupt under Chapter 11, without any financial federal or state support”, says this Dutch guy in his blog post
https://www.blogger.com/comment.g?blogID=1242171763796124927&postID=4060762712319515232&page=1
(There is a place for anonymous and signed comments.)
We should not bail them out. It is not as important as the bank bailout (see here: http://www.optimist123.com/optimist/2008/11/the-socialism-debate.html )
The auto makers should negotiate with their union to lower their wages to a competitive (US toyota/honda workers) wage. If the UAW doesn’t like it, ask the UAW if they’d prefer that GM go under and wave goodbye to all of their jobs, health care and pensions?
Both the companies and the unions are to blame for the current problems they are facing. But if they’re not competitive, they should fail. Just like every other business in this country.
I think there should be some major conditions attached to any bailout money. New management teams and requirements to increase production of fuel efficient vehicles. I wouldn’t mind seeing one of the three (GM?) fall to send a message that the other two need to shape up. The problem is the massive economic havoc that would wreck on millions of families.
Are there other smaller American car companies that have more progressive instincts that the GOV could invest in? If GM were to fail, maybe a group of smaller manufactures could pick up the slack.
Honestly, why there isn’t an American brand that is synonymous with fuel efficiency is beyond me. It seems like a company like Saturn could brand themselves like this, but something tells me that Saturn is owned by the big three.
I will update my post [1] if I am wrong or complete, but I believe this a push-poll designed to get a desired response.
Sample size is reasonable, but Question #5 appears to be a prime to shift mean responses to the pro-bailout position.
[1] http://www.tdaxp.com/archive/2008/11/14/the-detroit-push-pll.html