They are going to the perfect source of corporate welfare - wacko right wing Republican extremists. GM, et al now wants free government money because, after all, throwing money at anti-American companies will save jobs and reduce the deficit. Right.
From MarketWatch.com:
Quote:
GM (GM) Wants A Loan From Uncle Sam
Several reports indicate that GM (GM, Ford (F), and Chrysler are approaching the government for a total of $25 billion in loans at interest rates as low as 4.5%. The money could come in the form of loan guarantees.
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Let's see. GM was given $100million by the government to develop a hybrid in 1994. Fifteen years later - 10 years obsolete - GM still does not have a hybrid. GM is hyping their first hybrid as the only new product - to save the company. The Volt will not appear for another two years – 16 years after the Congress provided corporate welfare to build a hybrid. How does a company run by MBA auto designers solve their problems? They will run to the government for money.
A country that believes in free markets would let GM go to bankruptcy. Then all those America jobs would be saved. The only reason for GM job losses is Rick Wagoner and his staff of bean counters. How did we save Chrysler? We gave Chrysler no government money; we forced Chrysler to eliminate their only problem. Top management was replaced by someone how knew how to drive - Lee Iacocca. Bankruptcy of GM would also eliminate the only reason why GM refused to innovate - Rick Wagoner. To save his job
The only problem with GM - its product line reflects how MBA school management innovates. GM deperately needs bankrucpty to save those employees jobs and eliminate the only problem in GM.
Ever significant innovation in a GM car in the past 30 years has been all but required by EPA regulation. It takes government regulation before an MBA will let car guys innovate? And then the same MBA will run to government for corporate welfare. Ironically, right wing Republicans support this 'bridge to nowhere'.