President Obama's 2012 reelection campaign manager Jim Messina tweeted out this morning: "GM becomes top selling auto maker after POTUS invested in America. Meanwhile, Mitt was investing in the Cayman islands. #leadership?" Expect this to be a major theme of Obama's campaign. Hopefully Mitt Romney and his private equity past at Bain Capital will provide a clear contrast for voters about the future of this country.
Do we want to live in a capitalist country where entrepreneurs own businesses and consumers control them through the free market? Or do we want to live under a corporatist system where entrepreneurs own businesses, governments control the businesses, and corporations control the government. Think we don't live in a corporatist world under Obama already? Consider these headlines.
CNN, March 30, 2009: "General Motors CEO resigns as part of bailout deal"
USA Today, May 24, 2011: "Obama administration buying 101 Chevrolet Volts"
New York Times, July 28, 2011: "Carmakers Back Strict New Rules for Gas Mileage"
The causal relationship here is clear. Obama bailed out General Motors and replaced the management with cronies sympathetic to his agenda. As result, they no longer oppose his environmentalist agenda on fuel standards and Obama further cements the deal by propping up their car sales with taxpayer dollars. All at a huge loss to consumers and tax payers.
Every Chevy Volt ends up costing the tax payers $250,000. And if the Obama administration sold their ownership position in General Motors today, the total cost of just the GM bailout would reach $23.6 billion.
General Motors may be the top selling auto maker. But they did not get to that position through the free market. They out lobbied Ford, Toyota, and Honda in Washing. That is not capitalism. It is corporatism. And, from Obamacare to Solyndra to the Wall Street bailouts, it is how Obama is governing America.