http://en.wikipedia.org/wiki/Category:Defunct_motor_vehicle_manufacturers_of_the_United_States

The link above lists 564 US car makers who have either failed or been purchased by other car makers over the last 100 years.

What people seem to have forgotten is that competition is what capitalism is all about. Evrey failure shifted purchases to the survivors, rewarding them for producing what the market wanted. That's how you get better products.

Government bailouts have the reverse effect. By subsidizing the companies that are failing, they take purchases away from the companies that are producing vehicles that buyers want. Government rewards losers and punishes winners. It's reminiscent of Kurt Vonnegut's "Harrison Bergeron".

Cars won't get better if car makers are not allowed to fail.