I Hate Being Right All The Time

655.) I have long stated that the federal government underPresident Barack Obama has operated more like a communist dictatorship than afree Federal Republic.  Now most timesthe progressives will storm this blog when I say that. Do you remember whenPresident Obama stole GM and gave it to the Unions? Remember how it was onlysupposed to be temporary?  Remember how Ipredicted that the government would never give up its clutches on the company?Well Guess what….

GM has decided that it no longer can afford to be held underthe government’s oppressive thumb. The company has become concerned with thefact that they are surrounded by the stigma of being “government motors”. GMhas realized that being involved with the Feds is bad for business, as it hurtstheir image.  Worse yet, the governmentimposed pay restrictions are chasing top talent away, hurting the quality ofthe product GM can produce.  GM offeredto buy 200 million of the Federal Government’s 27% stake in the company, withthe remaining 500 million shares being sold in a public offering.

Well the nanny state has decided not to give up its share ofthe company, because it would be a financial disaster during an election year.  GM stock as of Friday September 16th,2012 were trading at $24.14, if the stock were to be sold at those prices theFederal Government would lose $15,000,000,000.00 on the GM bail out. For youand I to even break even on the investment forced upon us by the federalgovernment, GM stocks would have to reach $53 a share.  But don’t you worry the Federal Governmentwould consider possibly selling the stocks if it reaches the 30’s range.

Here is the rub; GM stock was re-launched after the bankruptcywith an IPO value of $33. It has yet to see that price sense.  So the Federal Government is not sellingshares to a private company until it reaches a number it has seen in twoyears.  I think the big governmentprogressives are just playing GM as a political trump card. They are notletting business leaders run the company. They are not doing what is best forthe company because a multibillion dollar loss during an election year does notmake for good political press.

I will be surprised if the government releases its grip onGM, it is too convenient of a pawn in their massive game of chess.  

(Please note the sarcasm and the movie refrence in the title, its a joke don’t grab your torches and pitch forks.)

  1. Can’t say I’m surprised by the government acting this way either. Still depressing.

  2. @firetyger – That is why 2012 is a crucial election. It is a choice between freedom and tyranny.  You can have a government that takes care of you and can take whatever it wants from you, or you can live in a free nation ruled by free men. The choice is yours. We can continue to support the big government tactics that brought us into this issue, or we can unlesh the free markets of the American Economy. 2012 the choice is yous.

  3. @obamawatch – Well, Obama is obviously a no go. But I wouldn’t call the main options a choice between tyranny and freedom. It’s more like Obama and Obama-lite. Romney supports the provisions of the NDAA just like Obama does. He also supports the bailouts, National ID cards, and TARP. Not to mention, Romney says he wants to repeal Obamacare but at the same time, he has been defending Romneycare in his state. Which is the legislation that played a large role for the inspiration of Obamacare.I’m either writing in Ron Paul or possibly Gary Johnson.

  4. So obama is a communist for “giving” GM to the unions (in reality, them buying the majority stock when it went public) and he’s also evil for not letting anyone run the company… that he just gave away to the unions to run.  He’s also a bastard for selling the stocks early at a loss to the taxpayer and an even bigger bastard for not selling more of them at a greater loss.Good logic.  More of obama’s communist big business crony capitalism.And by the way the auto industry is around 7% of the economy, even at a “loss” keeping it from collapsing is worth it.  And I have a funny feeling if he’d let them go under you’d be bashing him for that too…@firetyger – See the above.

  5. @agnophilo – I wouldn’t be bashing Obama for letting GM go under. I’m against bailouts, period.

  6. @firetyger – What I meant is you’d probably be bashing him if unemployment was double what it is now.

  7. @firetyger – And I was talking to the OP, I wasn’t saying that of you.  He bashes obama for what he does then bashes him for what he doesn’t do and attacks him for being a “crony capitalist” one moment and for supposedly being a communist the next.Oh and by the way “obamawatch”, I did a blog explaining the differences between communism and obama’s position here if you’re open enough to read it.

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