Once upon a time the American auto industry was all powerful, able to influence the government to make rules which favored their interests. Detroit’s leading firms, GM, Ford and Chrysler led the world’s automobile manufacturers and created a culture which excited the public, who thirsted for each years new innovations.

Decades of bad decisions, from expensive compromises with their unions, ignoring the need to manufacture fuel efficient cars, and consistently bad design decisions, along with strong competition from Japanese, Korean and other foreign automobile manufacturers, have badly wounded their ability to compete in today’s market place.

Government assistance is needed for them to not only get viable again, but to actually stay in business, and they have no choice but to have to play under the government’s new rules. Climate change legislation is on the horizon, and President Obama is fully committed to force the American car makers to join the new reality. They must produce fuel efficient cars for the American consumer.

For an in depth look at the new reality facing Detroit read John M.Broder and Micheline Maynard’s article in Wednesday’s New York Times.