change we can believe in - i.e., collusion between government and big business

It seems one of the first functions of the new American government is to "save" businesses that under-perform. Or maybe just businesses that have powerful lobbyists in Washington D.C. Remember now that President-elect Obama and the Democrats ran on a platform of ending corruption and changing the atmosphere in D.C. They were supposed to go to Washington to send the lobbyists home. Well, so far, it seems they are acting contrary to their word. Here's an example of the type of policies we get with a Democratic President and Democratic Congress:
In a letter to Treasury Secretary Henry M. Paulson Jr., House Speaker Nancy Pelosi (D-Calif.) and Senate Majority Leader Harry M. Reid (D-Nev.) asked Paulson to "review the feasibility . . . of providing temporary assistance to the automobile industry during the current financial crisis."

The letter notes that Congress granted Paulson broad discretion to use the bailout money to "restore financial market stability. A healthy automobile manufacturing sector is essential to the restoration of financial market security," the letter continues, as well as to "the overall health of our economy, and the livelihood of the automobile sector's workforce."

If the request is granted, it would expand the federal government's role in private enterprise far beyond the financial sector. Critics have warned that a bailout of GM would attract a long line of other companies to Washington to argue that their survival, too, is critical to the economic health of the country. The move would push the Bush administration to decide winners and losers in yet another huge sector of the economy, and it would force President-elect Barack Obama to manage a complex restructuring of the ailing automotive industry.
Mind you, Congress has already given the automakers a $25 billion dollar loan. For those on the left who are worried about the collusion between government and business, you could not find a more unnerving example in these stories. Is this change we can believe in?

1 comment:

Dave said...

i dont know where the money comes from

double digit inflation here we come!