GM's Bankruptcy - YOU are the Biggest Loser
Now that the federal government has emerged from the GM bailout owning 60% of the company, taxpayers will have to foot the bill. In a Fox News article, the Director of Entitlement and Budget Policy Peter Ferrara explains,
“The new GM will be run by the politics of the Obama Administration, not economics. That means it will be run to serve the interests of the United Auto Workers and the environmentalist groups that are major players in Obama’s political coalition, not consumers. The new politically driven GM will never return to profitability, and will stay alive only with a permanent taxpayer pipeline.”
The GM bailout will also elicit “a major decline in the standard of living for the middle class.” Americans will soon have to say good-bye to their American-made cars and say hello to the Italian-made Fiats or other small, weak cars designed by the Environmental Defense Fund. To make this situation even worse, Democrats are now slamming through Congress with new cap-and-trade taxes to impose extensive penalties to those driving anything but these new government-designed cars. “The next political battle will be over attempts by the government to make driving all these big powerful cars, new and old, illegal in the U.S.”
The sooner GM is cut loose, the better!