Posted on 12/09/2013 4:08:46 PM PST by Dallas59
The U.S. government ended up losing $10.5 billion US on its bailout of General Motors, but still says the alternative would have been much worse.
Treasury Secretary Jacob Lew announced Monday that the government sold its remaining shares in the Detroit automaker.
The government received 912 million GM shares, or a 60.8 per cent stake in the automaker, in exchange for a $49.5 billion bailout during the financial crisis in 2008 and 2009. It recovered $39 billion of the money, meaning taxpayers came up more than $10 billion short.
(Excerpt) Read more at cbc.ca ...
CBSnews is reporting a profit of 10B$
The alternative would have been the direct “loss” of 77,000 UAW jobs at GM in the US and indirect loss of 200,000 supporting jobs in the US. However, the vast majority of those jobs would have been picked up by other auto companies and suppliers, which would have taken over many of those facilities and hired most of the productive, skilled workers, although perhaps not with the requisite groveling in front of the UAW.
The alternative would have been to avoid crony capitalism. The alternative would have rewarded well-run companies and punished those that made reckless decisions. The alternative would have been MUCH better; what we chose instead would have made the National Socialists happy and did make their modern cousins, the Obama voters happy.
GM wasn’t bailed out. The UAW was bailed out.
BUT him saved those union jobs, motor voters don’t cha no?
“CBSnews is reporting a profit of 10B$”
there was a 10b profit. for the unions.
Exactly—well stated.
Get real, a bankruptcy would NOT have meant that GM close its doors. It would simply mean that they would have the opportunity to reorganize its debts and it would have allowed them to get out from under the crushing union contracts that pay a moron $100k a year to install windshield wipers.
The bailout was nothing but a way for Obastard to pay back the UAW for spending millions of dollars to elect Rats.
Soooo...
Now will they compensate the corporate bondholders that they shafted at the time of the takeover?
Why haven’t there been massive lawsuits over that?
There is the story of a “Corporate Raider” from the late 1980’s.
He was in court and fined some ridiculous dollar amount. He told the judge that it would take him a week or so to raise the money since he would need to liquidate his positions.
The Gov’t prosecutor said “That’s OK, we’ll take the positions”. He said “I strongly recommend you sell everything and take the cash”.
They ended up taking the positions and they got destroyed.
Wait a minute. The 0bama administration claimed GM paid back all the money. Of course we all knew that was a lie at the time. Did the admin ever admit the original lie? I lost my lie scorecard.
If it were within my power I would bleed the UAW of every penny that the bond holders lost. I wouldn’t care if they were left on the street living in boxes.
So even when Obama picks “winners”, they’re losers.
Poor. American. Taxpayers.
Screwed again.
In plain words, did the government LOSE 10B....or did it MAKE 10B ???
Leni
BIG GOVERNMENT IS CRONY SOCIALISM/FASCISM.
Socialism Is Legal Plunder - Bastiat
the plunder continues
How to Identify Legal Plunder
But how is this legal plunder to be identified? Quite simply. See if the law takes from some persons what belongs to them, and gives it to other persons to whom it does not belong. See if the law benefits one citizen at the expense of another by doing what the citizen himself cannot do without committing a crime.
Then abolish this law without delay, for it is not only an evil itself, but also it is a fertile source for further evils because it invites reprisals. If such a law which may be an isolated case is not abolished immediately, it will spread, multiply, and develop into a system.
The person who profits from this law will complain bitterly, defending his acquired rights. He will claim that the state is obligated to protect and encourage his particular industry; that this procedure enriches the state because the protected industry is thus able to spend more and to pay higher wages to the poor workingmen.
Do not listen to this sophistry by vested interests. The acceptance of these arguments will build legal plunder into a whole system. In fact, this has already occurred. The present-day delusion is an attempt to enrich everyone at the expense of everyone else; to make plunder universal under the pretense of organizing it.
Bastiat “The Law”
Obama throwing taxpayer funds after bad investments.
Screw GM and the UAW
Let them rot.
Where is the GOP?
What’s next, Detroit?
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