The Democrats love to crow about how successful the auto bailouts were. I've noticed they particularly mention GM. Well of course, Chrysler was handed over to Fiat (percent ownership is a detail), but GM is truly Government Motors!
Here is an article that does a great job explaining the reality:
Democrat's GM Fallacy
In the face of this truth, it is interesting to go back to a discussion of this very subject in 2008:
Bailouts: Where to draw the line?
Notice that the two auto companies discussed were GM and Ford. Note that GM got the bailout, and is still not viable, while Ford avoided bailouts, and is doing fairly well (certainly making much better vehicles).
Ford Focus may become world's best seller
But on the GM side:
GM using sub prime loans to drive sales
Chrysler is now led by Sergio Marchionne of Fiat, and a great job he seems to be doing!
Chrysler Sales
GM sales are not so bad, in part due to the sub prime loans and the fact that the federal govt including the military is buying GM cars almost exclusively. But the fundamentals are no better than they were before the bailout so it's a pretty good bet that it'll crash again. Pray they don't get another bailout.
Here is an article that does a great job explaining the reality:
Democrat's GM Fallacy
In the face of this truth, it is interesting to go back to a discussion of this very subject in 2008:
Bailouts: Where to draw the line?
Notice that the two auto companies discussed were GM and Ford. Note that GM got the bailout, and is still not viable, while Ford avoided bailouts, and is doing fairly well (certainly making much better vehicles).
Ford Focus may become world's best seller
But on the GM side:
GM using sub prime loans to drive sales
Chrysler is now led by Sergio Marchionne of Fiat, and a great job he seems to be doing!
Chrysler Sales
GM sales are not so bad, in part due to the sub prime loans and the fact that the federal govt including the military is buying GM cars almost exclusively. But the fundamentals are no better than they were before the bailout so it's a pretty good bet that it'll crash again. Pray they don't get another bailout.
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