If the recession and subsequent high employment proves anything, it's this: The scarcity of jobs hasn't made workers any smarter. Just-fired CNN anchor Rick Sanchez is a good example. Unfortunately, he's hardly the only one.
After a disastrous 2009, the auto industry is counting on a return to relatively better days in 2010. Automakers saw sales plummet by a third last year to a little over 10 million. Now, a projected bump back up to 11.8 million is looking pretty good.
Ford and General Motors reported higher sales in January, with Ford fleet sales surging 154%. Detroit's gains came as consumers avoided the showrooms of the largest Japanese competitor, Toyota, which is mired in massive recall involving millions of vehicles.
What are car makers tooting their horns about? All the earth-friendlier engines at the Detroit auto show. Hyundai's plug-in Blue Will concept car and Nissan's all-electric Leaf are just a couple of the new models. Companies are keen to show they are serious about raising gas mileage and reducing emissions.
It took a massive recession to make it happen, but China eclipsed the U.S. in auto sales last year. Buoyed by government stimulus, Chinese consumers snatched up 10.3 million cars, while total vehicle sales reached 13.6 million. By contrast, in the U.S., which was the world's largest auto market for decades, sales were just 10.4 million cars and trucks, and 2009 will go down as the slowest sales year since 1982.
Once icons of American industrial might, GM and Chrysler have cut jobs, closed plants, eliminated models and shed storied brands. Racing to turn their businesses around, both companies still have a long way to go to convince consumers their products are worthy of consideration.
General Motors plans to begin winding down operations of its Saab unit, after it was unable to reach a deal to sell the brand to Dutch concern Spyker Cars. This follows last month's collapse of a bid by Swedish luxury carmaker Koenigsegg Group to buy the 72-year-old automaker.
