Can Nancy Pelosi run a carmaker?
A WSJ editorial explains why the auto bailout won’t work: in a nutshell, because it is focused on making “green” cars rather than profitable cars.
If there was ever any question whether Congress actually wants to “save” Detroit, this week dispelled it. This is not a bailout that Congress is debating. It is a federal takeover. We don’t mean that in the sense that the feds will own the companies on paper, although that can’t be ruled out. What Congress wants to own is their business plan, and Detroit seems prepared to oblige.
The car makers’ request for a bridge loan, by contrast, looks like a $34 billion bridge to nowhere. It has already morphed into an opportunity for political extortion — and we don’t even have a bill yet. When, in a couple years, costs have not come down as expected because of political pressure to keep the unions happy and the green cars aren’t selling — because they were designed in Washington, not for consumers — the companies will be back for more money.
Perhaps most disconcerting is the prospect of Democrat-dictated vehicles being forced on the American consumer in the coming years:
And with the feds so invested in the companies, it will only be a short step for Congress to begin to coerce consumers to buy the cars that Washington prefers.
This will come in the form of a tax on cars that “pollute” too much.
The automakers need to get out of Washington now. They are handing over the ability to be profitable to leftist Democrats who have bankrupted the country and have no interest in viability, only an interest in enviro-leftist control of those evil cars they believe are destroying the planet. If they have their way, we we all be driving cars in a few years that Nancy Pelosi wants us to drive, rather than what we want to drive. And the companies that make then will be doing it on the government dole.