America, You Asked For It!

Political News and Commentary from the Right

US Motors just around the corner

President Obama claims he doesn’t want to be in the auto business, but very soon he’ll be the de facto CEO of General US Motors.  GM made the offer late last month, but now Reuters is reporting the government is preparing to accept.

The government’s plans include giving stakes in the new company to GM’s union and bondholders, although the ownership structure of the company is still being negotiated, said the source who is familiar with the company’s plans.

In other words, the Obama administration plans to purchase the bankrupt, defunct manufacturing Goliath before it really knows what it will do with it. The Reuters source wouldn’t specify a purchase price, which leads one to believe the American people will be infuriated if “the most transparent administration in history” discloses what it’s willing to pay to purchase the ruins of this former pillar of American industry.

You may recall President Bush approved a $13.4 billion emergency loan for GM last December. Sorry, but you loan money only when you expect it to be repaid. At the time, many of us recognized that GM had already fallen too far, that the American taxpayer was forfeiting funds we would never recover. Now, it’s apparent we were correct.

In addition, the government would extend a credit line to the new company and forgive the bulk of the $15.4 billion in emergency loans that the U.S. has already provided to GM, the source said.

Imagine that! 

Merriam-Webster’s Online Dictionary gives the following definition for Socialism.

Socialism–any of various economic and political theories advocating collective or governmental ownership and administration of the means of production and distribution of goods

Anyone still denying where we’re headed with Obama’s economic policies?

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May 20, 2009 - Posted by | Bailout | , , , , , ,

2 Comments »

  1. Here at America’s Power, we know not everyone is following what’s happening in Washington, but right now there’s a hotly debated bill in Congress called Waxman-Markey that deals with the issue of climate change.

    We need a climate plan that’s affordable and effective. Americans should support a plan that:

    • Achieves emissions reductions
    • Creates jobs
    • Preserves fuel diversity as a means of promoting greater energy independence
    • Protects consumers against unnecessarily
    high energy costs

    We support a federal plan to reduce greenhouse gas emissions, but the Waxman-Markey bill needs to do more to guarantee that consumers are protected from unnecessary increases in energy costs. Because without these changes the bill is not affordable – and therefore, not effective.

    To find out more about America’s Power’s stance on Waxman-Markey, watch our video. http://www.sn.im/balenergy

    Comment by monica | May 20, 2009 | Reply

  2. […] was predicted here days ago, but the President who publicly professed that he doesn’t want to run the auto […]

    Pingback by Nero fiddled while Rome burned… « America, You Asked For It! | May 27, 2009 | Reply


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