The US Olympic Team is outfitted in uniforms made in China. This has some people upset. Senate Majority Leader Harry Reid, D-Nev., for example:
I think they should take all the uniforms, put them in a big pile and burn them and start all over again.
House Speaker John Boehner, R-Ohio, said, “You’d think they’d [The US Olympic Committee] know better.” It’s John and Harry who should know better.
My first thought was to put all the Senators and Congressman in a big pile. But I couldn’t figure out if Barney Frank would be on the top or on the bottom, and I quickly stopped thinking about it.
But what’s the problem? The president and Congress gave a loan guarantee of $529 million to a foreign competitor of US automobile manufacturers. The president and Congress spent at least a billion and a half taxpayer dollars to create jobs overseas, sending a lot of it to places who don’t do much for us at all. The Chinese, at least, have lent about a trillion dollars to the US. And whose fault is that?
In any case, the US Olympic Committee is privately funded, so it isn’t even taxpayer dollars Harry wants to burn. It’s private funds, like the more than $40,000 Ralph Lauren has donated to Democrats since 2008.
What’s Ralph Lauren got to do with it? He is the guy who outsourced the uniform production. Harry should raise his objections with Ralph about this, give back the money, and then get in the pile.
Update 4:16PM. Similar thoughts at Cafe Hayek and RealClearMarkets.
Update 5:01PM Jul 15. More thoughts at FutureOfCapitalism.
… to the Rule of Law; to the economy; to taxpayers; to shareholders.
This is not Capitalism, it is Fascism. Capitalism actually requires that bad companies be allowed to fail. And their assets, or lack thereof, cannot appear on a government balance sheet.
“It looks like General Motors will be throwing everything in but the kitchen sink to help fluff its second quarter earnings numbers. Taxpayers continue to help with the cause as President Obama campaigns on the “success” of GM following the manipulated bankruptcy process that cost taxpayers $50 billion and another $45 billion of tax credits gifted to GM to help protect powerful UAW interests. We now learn that government purchases of GM vehicles rose a whopping 79% in June.“
And the old channel stuffing trick has been revived to inflate “earnings.”
“Old habits die hard at GM. According to a Bloomberg report, “GM said inventory of its full-size pickups, which will be refreshed next year, climbed to 238,194 at the end of June, a 135 days supply, up from 116 days at the end of May.” 135 days supply is huge, the accepted norm is a 60 day supply. The trick here is that GM records revenue when vehicles go into dealership inventories, not when actually sold to consumers.”
There’s now a shareholders’ class action suit filed because of that.
Who’da thunk there would be political motivation to maintain the illusion that UAW/Federal joint-ownership of a car company was a good idea? In an election year yet… from the most transparent Administration ever to preen before a mirror.
Mitt Romney, along with many others, was right: GM should have gone bankrupt.
“When the entitled elect themselves, the party accelerates, and the brutal hangover is inevitable.”
-Dr. Michael J. Burry at UCLA Economics Commencement 2012
Government Motors has powerful allies: The White House, FBI, FCC, NLRB, EPA, IRS, etc., etc.
Ford pulls its ad on bailouts
This is what happens when government seizes corporations. If it will decide to give money to a corporation going bankrupt, to negate legal contracts… to suspend the rule of law, then government owns the result. In the case of GM, literally and morally.
Criticism of such a deal is automatically politicized, and while political speech may be protected under the First Amendment; what is that to the Corporatist Axis? The Axis will suppress free speech in order to protect its
political agenda reciprocal “investment.”
Ford should keep on, I’ll even buy one I don’t yet need just to get in Corporatism’s face.
Anyone who opposes me… blah, blah… Democrat applause line… blah, blah… is a foolish, anti-American, baby eating Republican… blah, blah… applause line no one could disagree with if they believed he meant it… blah, blah… Democrat applause line… who deserves to be tarred and feathered because he hates teachers, old people and bridges… blah, blah… blah, blah… hundreds of billions… blah, blah… fiscally responsible, will be paid for… bleh, bleh… there’s an election in 14 months… blah, blah.
He does seem to have got his 2008 teleprompters back in service. They did a fine job.