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    Who are the NERD fund donors Mr Snyder?

    Raise the curtain.

    Geithner's Spin: Auto Bailout A Success


    By Warner Todd Huston, Section News
    Posted on Thu Apr 28, 2011 at 05:44:09 PM EST
    Tags: General Motors, GM, Chevy Volt, Timothy Geithner, subsidies, bailouts, UAW, United Auto Workers (all tags)

    At the Detroit Economic Club today, Treasury Secretary Timothy Geithner tried to claim the auto bailout is a success.

    It certainly doesn't seem like a success for the taxpayers.  GM stock is about $30 today, and unless it gets up to $54, the taxpayers lose money on the deal.  Why would it go up?  You want to fight high gas prices by buying a Volt?  How does $41 grand a pop sound? And still GM loses money on every one it sells even at that price.  Not only that but we are seeing that government subsidies for electric cars is good tax money wasted in any case.

    It doesn't get any better. Worldwide, U.S. cars aren't selling worth beans and domestically, GM is lagging because people who hate the bailouts won't support it with their car-buying dollars any more than they did with their votes last year when they kicked out every incumbent they could find who'd been for it.  And GM still has all its old problems, too, like those big fat union pension obligations. Sadly, nothing that caused GM's financial trouble has been fixed.

    But the spin continues. Last December, Geithner said the auto bailouts were "investments," which "will show a positive return, not a negative return."

    As the 2010 midterms proved, the people know better.  They know government can't run an automobile company and they know the deal was mostly political payback to the UAW, the biggest culprit in why GM and Chrysler were in trouble in the first place -- not that company execs did themselves proud, either.

    People didn't believe Geithner when he said we'd make money on the deal, and they were right.  Today's speech was more of the same, and it still won't fly.

    Geithner, Obama and the rest of the gang that brought us this monstrosity may or may not actually still think they kept the economy from chaos by the bailout, but they're just believing their own scare tactics if they do.

    As George Mason University Professor Todd Zywicki pointed out in depth, a normal bankruptcy would have worked just as well.  Sorry, Timmy. Your spinning wheel is getting us nowhere.

    < Right Michigan Hits TOP 100! | While we are at it.. >


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    Geithner's Spin: Auto Bailout A Success | 16 comments (16 topical, 0 hidden)
    Its really tough.. (none / 0) (#1)
    by JGillman on Thu Apr 28, 2011 at 08:12:53 PM EST
    We were considering a new car this year.

    GM is out of the question, until it is 100% free of government influence.

    Then there is Chrysler, which showed no loyalty among thieves with the strange nullification of contract by the Obama administration forcing preferred stock held by an Ohio teacher union to go away while giving it to the UAW.  Very strange how this does not seem to get the coverage main stream.

    no maybe not so strange.

    They ignored the dealerships which were forced closed by fiat as well as political punishment for supporting republicans in 2008.

    Frankly Congress should be calling witness after witness right now.

    But this guy (me) won't likely be buying new. Maybe a Ford, but they too have some cash infusions not being talked about to meet green standards.

    sell outs.

    I'll saddle up a buffalo before getting excited about a new ride anytime in the near future.

    A Lovely Situation (none / 0) (#2)
    by Rougman on Thu Apr 28, 2011 at 08:27:56 PM EST
    This whole automobile experiment can only stay afloat as long as our tax dollars are used to propel demand through purchase subsidies and punitive energy policies while, at the same time, borrowed Chinese money (to be repaid by the grandchildren of today's taxpayers) is used to incentivize the development of inefficient technologies to be strapped to the green vehicles government approves of.  

    That agriculture costs to consumers are rising at the same time we are forced to burn food in the gas tank, why, that's just an added bonus!

    Incidentally, I cannot wait for the inevitable situation where UAW members have to contemplate striking against a company that they themselves own.  

    Are you retarded? (none / 0) (#3)
    by stormhit on Thu Apr 28, 2011 at 10:35:03 PM EST
    On a Michigan blog you bring this kind of factless bullshit?

    Are you morons so far up your own asses that you can't accept reality?

    • Did someone hit a by JGillman, 04/28/2011 10:42:41 PM EST (none / 0)
    • Herp derp by jgillmanjr, 04/29/2011 11:50:52 AM EST (none / 0)
    Pick your number, stormhit (none / 0) (#7)
    by Corinthian Scales on Fri Apr 29, 2011 at 07:08:25 AM EST
    Honestly stormhit, there is no tangible reason for me to suspect you as anything other than a #12.

    A Top 12 List That Explains Most Everything Today

    When your acquaintances cannot explain why they voted for Democrats, give them this list.  They can then pick their reasons from this "TOP 12"...

    1. I voted Democrat because I believe oil companies' profits of 4% on a gallon of gas are obscene, but the government taxing the same gallon of gas at 15% isn't.

    2. I voted Democrat because I believe the government will do a better job of spending the money I earn than I would.

    3. I voted Democrat because Freedom of Speech is fine as long as nobody is offended by it.

    4. I voted Democrat because I'm way too irresponsible to own a gun, and I know that my local police are all I need to protect me from murderers and thieves.

    5. I voted Democrat because I believe that people who can't tell us if it will rain on Friday can tell us that the polar ice caps will melt away in ten years if I don't start driving a Prius or Volt.

    6. I voted Democrat because I'm not concerned about millions of babies being aborted so long as we keep all death row inmates alive.

    7. I voted Democrat because I think illegal aliens have a right to free health care, education, and Social Security benefits.

    8. I voted Democrat because I believe that business should not be allowed to make profits for themselves. They need to break even and give the rest away to the government for redistribution as the Democrats see fit.

    9. I voted Democrat because I believe liberal judges need to rewrite the Constitution every few days to suit some fringe kooks who would never get their agendas past the voters.

    10. I voted Democrat because I think that it's better to pay billions to people who hate us for their oil, but not drill our own because it might upset some endangered beetle, lizard, owl or gopher.

    11. I voted Democrat because while we live in the greatest, most wonderful country in the world, I was promised "HOPE AND CHANGE".

    12. I voted Democrat because my head is so firmly planted up my ASS it's unlikely that I'll ever have another point of view.

    Hat tip to A Brilliant Unknown Author!

    Geithner's Spin: Auto Bailout A Success | 16 comments (16 topical, 0 hidden)
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