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Tuesday, January 3, 2006 - Page updated at 12:55 PM

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Rescuing American automakers: Right-leaning Shaunti Feldhahn on "buy American"

Syndicated Columnist

This is one of those infrequent issues on which Diane and I somewhat switch ideological places. I absolutely agree that we cannot "shelter" businesses suffering from shortsighted decisions or uncompetitive products.

But that's not what is wrong with U.S. automakers. The main problem (among many) has not been the average automaker, but the average American.

Over the past 15 years, consumers have more than doubled the demand for bigger and badder SUVs, not little hybrids. Meeting demand was not padding the egos of suburbanites, but good business.

It's ironic to remember that before gas prices rose, Japanese automakers were scrambling to catch up with U.S. SUV development.

Normally, if demand in a given industry changes faster than suppliers can keep up, well, that's just the laissez-faire lumps of capitalism.

But the U.S. auto industry is not normal: It is immense, and directly or indirectly it affects a huge part of our economy.

As a 2003 study by the Center for Automotive Research put it, "No other single industry is linked to as much of U.S. manufacturing or generates as much retail business and employment."

Simply put, we cannot afford to shrug off the downturn of an industry that directly contributes 3.5 percent of our GDP and accounts for more economic productivity per worker than almost any other.

It is very true that U.S. automakers should have prepared for the possibility of rising gas prices. But it is also true that for many reasons, including massive pension and benefits obligations to retired workers (a subject for another day), the Big Three haven't had a lot of cash for development that was — until recently — purely speculative. For several years now, they have been developing alternative-fuel cars and more fuel-efficient technologies. But that cycle doesn't happen overnight, and they need consumer support to get there.

This isn't charity; American vehicles continue to do well in quality ratings. I personally drive a terrific Dodge minivan that shows no signs of trouble after eight years. After 9/11, U.S. automakers' price discounts played a significant role in pulling us out of our recession more quickly than expected.

Turnabout is fair play, and it is our turn.

Harvard-educated Shaunti Feldhahn (scfeldhahn@yahoo.com) is a conservative Christian author and speaker, and married mother of two children.

2006, Shaunti Feldhahn

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