Richard Maybury is the kind of historian I like to read, because he goes waaaay back, and draws parallels between what has happened before and what's happening now, and feels very comfortable making predictions based on the evidence of history.
I remember distinctly the day I first learned of him. I was on a business trip, on a Southwest flight from Albuquerque to El Paso, and the guy sitting next to me was reading a book entitled "What Ever Happened To Justice?" by Maybury.
We got into a lively discussion about the premise of the book, which is that politics, the law and the economy are inextricably intertwined, always have been, and that one's understanding of economics, the law, or politics could not be complete without seeing all of them at once in the context of each other. Thus, distortions in the economy are much easier to understand and predict based on one's understanding of the current political and resulting legal influences on the market.
He wrote a whole series of books including "What Ever Happened to Penny Candy?," "The Thousand Year War" about the conflict between Christians and Muslims, and several others. I have almost all his books, and they are fantastic. They are written in a manner that any high school student can comprehend, but not in a condescending fashion at all. He uses the conceit of Uncle Eric writing to answer questions sent to him by his nephew. They are brilliant as far as I am concerned.
In several of his books, he points out that a survey of all the major religions invented by man throughout the centuries reveals two common denominators, and he calls these the Two Great Laws.
1) Always do what you have agreed to do, and
2) Never encroach on any person or their property.
His assertion is that there really are no other laws required, and that all of our current legal systems, and specifically the American and British systems which evolved from the Magna Carta and English Common Law can be boiled down to these two great laws.
By inference, all subsequent law has been tainted by well-meaning (or not) legislators who have unintentionally (or not) narrowed the focus of law resulting in the consolidation of power, wealth or both into the hands of a few, to the detriment of all others.
In decrying the decline of civil society, Maybury points to the Two Great Laws and states that if individuals wanted to voluntarily associate themselves into communities or nations, they merely needed to declare themselves so united, and have a system of judicial oversight and limited law enforcement required to bring outlaws to justice. If you felt that anyone was causing you personal injury by encroaching on you or your property in any way, or had reneged on an agreement, you could present your case to a judge and the accused would have the opportunity to defend himself against your charges. Damages would be paid directly to the victim by the convict -- none of this "paying a debt to society" crap.
This is brilliant in its simplicity -- and very uninteresting to most politicians, since it is the antithesis of concentrated power and wealth.
I recommend you all read the works of Richard Maybury.
Friday, April 3, 2009
Tuesday, March 31, 2009
Constitution? What Constitution?
Following is the full text of President Barack Obama's remarks about the auto industry on Monday.
[My comments are in BRACKETS...]
One of the challenges we have confronted from the beginning of this administration is what to do about the state of our struggling auto industry. [Why? For the federal government to do anything with, for or about a private company is unconstitutional.] In recent months, my auto task force has been reviewing requests by General Motors and Chrysler for additional government assistance [GM and Chrysler should not be asking the federal government to take unconstitutional actions.] as well as plans developed by each of these companies to restructure, modernize, and make themselves more competitive. Our evaluation is now complete. [Why did you waste taxpayer money for this exercise?] But before I lay out what needs to be done going forward, I want to say a few words about where we are, and what led us to this point.
It will come as a surprise to no one that some of the Americans who have suffered most during this recession have been those in the auto industry and those working for companies that support it. [...because of bad management, led-on by bad government policies.] Over the past year, our auto industry has shed over 400,000 jobs, not only at the plants that produce cars but at the businesses that produce the parts that go into them, and the dealers that sell and repair them. More than one in 10 Michigan residents is out of work -- the most of any state. [Thank the unions and bad management by the automakers.] And towns and cities across the great Midwest have watched unemployment climb higher than it's been in decades. [Over 30 years of lousy fiscal decisions by Congress and the unconstitutional Federal Reserve monetary policies have caused this economic crisis.]
The pain being felt in places that rely on our auto industry is not the fault of our workers, who labor tirelessly and desperately want to see their companies succeed. [Too bad they picked the wrong companies to work for...] And it is not the fault of all the families and communities that supported manufacturing plants throughout the generations. Rather, it is a failure of leadership -- from Washington to Detroit -- that led our auto companies to this point. [BINGO! Obama speaks the TRUTH!]
Year after year, decade after decade, we have seen problems papered-over and tough choices kicked down the road [by Congress], even as foreign competitors outpaced us. Well, we have reached the end of that road. And we, as a nation, cannot afford to shirk responsibility any longer. [What the heck does this mean?] Now is the time [for who?] to confront our problems head-on and do what's necessary to solve them.
We cannot, we must not, and we will not let our auto industry simply vanish. [Why not? -- And, what makes you think it will "simply vanish" if the federal government does nothing?] This industry is, like no other, an emblem of the American spirit; a once and future symbol of America's success. It is what helped build the middle class and sustained it throughout the 20th century. It is a source of deep pride for the generations of American workers whose hard work and imagination led to some of the finest cars the world has ever known [along with some of the crappiest, which caused other car companies to fail, by the way...]. It is a pillar of our economy that has held up the dreams of millions of our people. [Can I stop saluting now?] But we also cannot continue to excuse poor decisions. [Why does our President think the federal government should be involved in evaluating the relative goodness of the inept decisions made by the inept leaders of a private company?] And we cannot make the survival of our auto industry dependent on an unending flow of tax dollars. [Make that "ANY" tax dollars...] These companies -- and this industry -- must ultimately [...yea, verily, even now...] stand on their own, not as wards of the state. [Amen brother!]
That [...what?...] is why the federal government provided General Motors and Chrysler with [unconstitutional] emergency loans to prevent their sudden collapse at the end of last year -- only on the condition that they would develop plans to restructure. In keeping with that agreement, each company has submitted a plan to restructure. But after careful analysis, we have determined [in an unconstitutional manner] that neither goes far enough to warrant the substantial new [and unconstitutional] investments that these companies are requesting. And so today, I am announcing that my administration will [unconstitutionally] offer GM and Chrysler a limited period of time to work with creditors, unions, and other stakeholders to fundamentally restructure in a way that would justify an investment of additional [unconstitutionally-confiscated] tax dollars; a period during which they must produce plans that would give the American people confidence [won't happen -- can't happen] in their long-term prospects for success.
What we are asking is difficult [...and unconstitutional]. It will require hard choices by companies. [The choice is EASY. JUST SAY NO to government "aid."] It will require unions and workers who have already made painful concessions to make even more. It will require creditors to recognize that they cannot hold out for the prospect of endless [and unconstitutional (am I making my point yet?)] government bailouts. Only then can we ask American taxpayers who have already put up so much of their hard-earned money to once more invest [Invest? INVEST?? I don't think so! -- You're STEALING our money to give to private companies! We can already VOLUNTARILY invest by buying the company's STOCK -- WHICH IS WORTHLESS BECAUSE GM IS WORTHLESS, and no one will buy their stock!!!] in a revitalized auto industry. But I am confident that if we are each willing to do our part, then this restructuring, as painful as it will be in the short-term, will mark not an end, but a new beginning for a great American industry; an auto industry that is once more out-competing the world; a 21st century auto industry that is creating new jobs, unleashing new prosperity, and manufacturing the fuel-efficient cars and trucks that will carry us toward an energy independent future [on the backs of the few remaining productive taxpaying Americans]. I am absolutely committed to working with Congress and the auto companies to meet one goal: the United States of America will lead the world in building the next generation of clean cars [...no matter HOW unethical our actions might have to be in achieving this noble goal].
No one can deny that our auto industry has made meaningful progress in recent years. [Huh?] Some of the cars made by American workers are now outperforming the best cars made abroad. [Huh?] In 2008, the North American Car of the Year was a GM. This year, Buick tied for first place as the most reliable car in the world. [It's a SAD DAY for automakers everywhere...] And our companies are investing in breakthrough technologies that hold the promise of new vehicles that will help America end its addiction to foreign oil [Good! Let's let them do just that, if they can, without any government interference, OK?].
But our auto industry is not moving in the right direction fast enough to succeed. [WHO has made this determination, if not the ONLY legitimate authority -- shareholders and share sellers in the free marketplace?] So let me discuss what measures need to be taken by each of the auto companies requesting [all together now -- "unconstitutional!"] taxpayer assistance, starting with General Motors. While GM has made a good faith effort to restructure over the past several months, [in who's opinion?] the plan they have put forward is, in its current form, not strong enough [Fine -- Let them fail!]. However, after broad consultations with a range of industry experts and financial advisors, I'm confident that GM can rise again, provided that it undergoes a fundamental restructuring [RIGHT! As in Bankruptcy -- let them fail!]. As an initial step, GM is announcing today that Rick Wagoner is stepping aside as Chairman and CEO. This is not meant as a condemnation of Mr. Wagoner, who has devoted his life to this company; rather, it's a recognition that it will take a new vision and new direction to create the GM of the future. [This is most disturbing -- the President of the United States has demanded and received the resignation of the CEO of one of the (formerly) largest companies in the world...]
In this context, my administration will offer General Motors adequate working capital over the next 60 days. During this time, my team [Central Planners as in the Former Soviet Union] will be working closely with GM to produce a better business plan. [Better according to WHO?] They must ask themselves: have they consolidated enough unprofitable brands? Have they cleaned up their balance sheets or are they still saddled with so much debt that they can't make future investments? And above all, have they created a credible model for how to not only survive, but succeed in this competitive global market? Let me be clear: the United States government has no interest or intention of running GM [Then What the heck do you call THIS???]. What we are interested in is giving GM an opportunity to finally make those much-needed changes that will let them emerge from this crisis a stronger and more competitive company. [ONLY the free market can make this determination, AND they have already done so -- let GM GO AWAY! It is a failed enterprise!!! Mr. President, you are wasting our time and money with all this illegal, unconstitutional arm-waving!!!]
The situation at Chrysler is more challenging. It is with deep reluctance but also a clear-eyed recognition of the facts that we have determined, after a careful review, that Chrysler needs a partner to remain viable. Recently, Chrysler reached out and found what could be a potential partner -- the international car company Fiat [F.I.A.T. -- That's "Fix It Again, Tony!"] , where the current management team has executed an impressive turnaround. Fiat is prepared to transfer its cutting-edge technology to Chrysler [hhmmmmmm...] and, after working closely with my team, has committed to building new fuel-efficient cars and engines here in America. We have also secured an agreement that will ensure that Chrysler repays taxpayers for any new investments that are made before Fiat is allowed to take a majority ownership stake in Chrysler. [OK! Step Right Up Everybody! Buy some stock in the New FIAT/Chrysler! Yay! Can't wait to watch THIS TRAIN WRECK!]
Still, such a deal would require an additional [not to mention, unconstitutional...] investment of tax dollars, and there are a number of hurdles that must be overcome to make it work. I am committed to doing all I can to see if a deal can be struck in a way that upholds [in an unconstitutional manner, of course] the interests of American taxpayers. That is why we will give Chrysler and Fiat 30 days to overcome these hurdles and reach a final agreement -- and we will provide Chrysler with adequate capital to continue operating during that time. If they are able to come to a sound agreement [with my BIG GUN held to their head] that protects American taxpayers, we will consider lending up to $6 billion to help their plan succeed. But if they and their stakeholders are unable to reach such an agreement, and in the absence of any other viable partnership, we will not be able to justify investing additional tax dollar to keep Chrysler in business. [I can't even believe our President has uttered these words in public on the world stage... Didn't we just go through all this with Lee Iaccocca thirty years ago? Haven't we learned ANYTHING? It didn't work then, and it won't work now! It was just as unconstitutional then as it is now!]
While Chrysler and GM are very different companies with very different paths forward, both need a fresh start to implement the restructuring plans they develop. [Yes, it's called BANKRUPTCY] That may mean using our bankruptcy code as a mechanism to help them restructure quickly and emerge stronger. [So why waste all this time and all these BILLIONS of taxpayer dollars? Just Do It!] Now, I know that when people even hear the word "bankruptcy" it can be a bit unsettling, so let me explain what I mean. What I am talking about is using our existing legal structure as a tool that, with the backing of the U.S. government, can make it easier for General Motors and Chrysler to quickly clear away old debts that are weighing them down so they can get back on their feet and onto a path to success; a tool that we can use, even as [overpaid, inefficient union] workers are staying on the job building [crappy] cars that are [not] being sold. What I am not talking about is a process where a company is broken up, sold off, and no longer exists. And what I am not talking about is having a company stuck in court for years, unable to get out. [Right. I am not talking about this.]
[As a constitutional law scholar, It is my hope that the [unconstitutional] steps I am announcing today will go a long way toward answering many of the questions people may have about the future of GM and Chrysler. But just in case there are still nagging doubts [gee, ya think?], let me say it as plainly as I can -- if you buy a car from Chrysler or General Motors, you will be able to get your car serviced and repaired, just like [you have ]always [had to do, all the time!]. Your warrantee [..uh, Sir, that's, uh, "warranty..."] will be safe. In fact, it will be safer than it's ever been. Because starting today, the United States government will stand behind your warrantee.
But we must also recognize that the difficulties facing this industry are due in no small part to the weakness in our economy. Therefore, to support demand for auto sales during this period, I'm directing my team to take several steps. First, we will ensure that Recovery Act funds to purchase government cars go out as quickly as possible and work through the budget process to accelerate other federal fleet purchases as well. Second, we will accelerate our efforts through the Treasury Department's Consumer and Business Lending Initiative. [Let's let that one sink in for a moment, shall we... the Treasury Department's Consumer and Business Lending initiative... I can only hope that this is simply the government encouraging consumers and businesses to borrow responsibly...] And we are working intensively with the auto finance companies to increase the flow of credit to both consumers and dealers. [Ooops! Should have known. On the one hand, Obama says our problems are due to the Fed setting interest rates too low and consumers borrowing too much, and on the other hand he says our consumer spending has to increase...] Third, the IRS is today launching a campaign to alert consumers of a new tax benefit for auto purchases made between Feb. 16 and the end of this year -- if you buy a car anytime this year, you may be able to deduct the cost of any sales and excise taxes. This provision could save families hundreds of dollars and lead to as many as 100,000 new car sales. [Once again, the federal government using the unconstitutional income tax policy as a tool to punish one class of citizen, and reward another.]
Finally, several members of Congress [Oh boy, now I'm encouraged..] have proposed an even more ambitious incentive program to increase car sales while modernizing our auto fleet. Such fleet modernization programs, which provide a generous credit to consumers who turn in old, less fuel efficient cars and purchase cleaner cars have been successful in boosting auto sales in a number of European countries. I want to work with Congress to identify parts of the Recovery Act that could be trimmed to fund such a program, and make it retroactive starting today. [Let there be no doubt, this will be a Rube Goldberg kludge program of the highest order.]
Let there be no doubt, it will take an unprecedented effort on all our parts -- from the halls of Congress to the boardroom, from the union hall to the factory floor -- to see the auto industry through these difficult times [...or, we can do the right thing and let them go bankrupt quickly and cleanly]. But I want every American to know that the path I am laying out today is our best chance to make sure the cars of the future are built where they've always been built -- in Detroit and across the Midwest; to make America's auto industry in the 21st century what it was in the 20th century -- unsurpassed around the world. [Yes America, together we can push back the auto industry A HUNDRED YEARS!!!] This path has been chosen after consulting with other governments that are facing this crisis. [Right! Let's make sure we consult only with other EXPERTS in the auto industry!!] We have worked closely with the government of Canada on GM and Chrysler, as both companies have extensive operations there. The Canadian government has indicated its support for our approach and will be announcing their specific commitments later today. [I am dutifully holding my breath.]
While the steps I am talking about will have an impact on all Americans, some of our fellow citizens [...productive workers who pay taxes...] will be affected more than any others. And so I'd like to speak directly to all those men and women who work in the auto industry or live in the countless communities that depend on it. Many of you have been going through tough times for longer than you'd care to remember. And I will not pretend the tough times are over. I cannot promise you there isn't more pain to come. But what I can promise you is this -- I will fight for you. [Why?] You are the reason I am here today. [Ah yes! All those union contributions!] I got my start fighting for working families in the shadows of a shuttered steel plant and I wake up every single day asking myself what I can do to give you and working people all across this country a fair shot at the American dream. [How about, "Go away and leave the federal government out of these radical interventionist tactics that interfere with private businesses?"]
When a community is struck by a natural disaster, the nation responds to put it back on its feet. [You know, like we did after Hurricane Katrina...] While the storm that's hit our auto towns is not a tornado or a hurricane, the damage is clear, and we must respond. [FAIL!] That is why today, I am designating a new Director of Recovery for Auto Communities and Workers [DirRecCoWo, or "Dracula" for short] to cut through red tape [created by my appointment of a new "Dracula"] and ensure that the full resources of our federal government [Oh My God! Not That!] are leveraged to assist the workers, communities, and regions that rely on our auto industry. Edward Montgomery, a former Deputy Labor Secretary, has agreed to serve in this role [as my new Dracula]. Together with Labor Secretary Solis and my Auto Task Force, Ed will help provide support to auto workers and their families, and open up opportunity in manufacturing communities [by radically increasing the federal government's unconstitutional spending of your hard-earned income, taken away from you under threat of force]. Michigan, Ohio, Indiana, and every other state that relies on the auto industry will have a strong advocate in Ed. He will direct a comprehensive effort that will help lift up the hardest hit areas by using the unprecedented levels of funding [money taken from the few remaining productive taxpayers] available in our Recovery Act and throughout our government to create new manufacturing jobs and new businesses where they are needed most -- [where the free-market wants them to be] in your communities. And he will also lead an effort to identify new initiatives we may need [like throwing Christians and bitter, clinging gun owners to wild lions in the Superdome] to help support your communities going forward.
These efforts, as essential [and unconstitutional] as they are, will not make everything better overnight. There are jobs that cannot be saved. There are plants that will not reopen. And there is little I can say that can subdue the anger or ease the frustration of all whose livelihoods hang in the balance because of failures [of government] that weren't theirs.
But there is something I want everyone to remember. Remember that it is precisely in times like these -- in moments of trial, and moments of hardship -- that Americans rediscover the ingenuity and resilience [of Free Markets] that makes us who we are. That made the auto industry what it once was. That sent those first mass-produced cars rolling off assembly lines. That built an arsenal of democracy that propelled America to victory in the Second World War. And that powered our economic prowess in the first American century. [Cue the music! Drop the balloons! Light the fireworks!]
Because I know that if we can tap into that same ingenuity and resilience right now; if we can carry one another through this difficult time and do what must be done; [if we can firmly plant the seeds of Marxism and Socialism in the garden of Free Enterprise]: then we will look back and say ["Wow! Look at ALL THOSE WEEDS choking the life out of our vegetables!"] that this was the moment when America's auto industry shed its old ways, marched into the future, and remade itself, once more, into an engine of opportunity and prosperity, not only in Detroit, and not only in our Midwest, but all across America. [Wave the flags! Crescendo the music! Shed a tear, for the death of capitalism and free markets...]
~President Barrack Obama
Monday March 30th, 2009
[My comments are in BRACKETS...]
One of the challenges we have confronted from the beginning of this administration is what to do about the state of our struggling auto industry. [Why? For the federal government to do anything with, for or about a private company is unconstitutional.] In recent months, my auto task force has been reviewing requests by General Motors and Chrysler for additional government assistance [GM and Chrysler should not be asking the federal government to take unconstitutional actions.] as well as plans developed by each of these companies to restructure, modernize, and make themselves more competitive. Our evaluation is now complete. [Why did you waste taxpayer money for this exercise?] But before I lay out what needs to be done going forward, I want to say a few words about where we are, and what led us to this point.
It will come as a surprise to no one that some of the Americans who have suffered most during this recession have been those in the auto industry and those working for companies that support it. [...because of bad management, led-on by bad government policies.] Over the past year, our auto industry has shed over 400,000 jobs, not only at the plants that produce cars but at the businesses that produce the parts that go into them, and the dealers that sell and repair them. More than one in 10 Michigan residents is out of work -- the most of any state. [Thank the unions and bad management by the automakers.] And towns and cities across the great Midwest have watched unemployment climb higher than it's been in decades. [Over 30 years of lousy fiscal decisions by Congress and the unconstitutional Federal Reserve monetary policies have caused this economic crisis.]
The pain being felt in places that rely on our auto industry is not the fault of our workers, who labor tirelessly and desperately want to see their companies succeed. [Too bad they picked the wrong companies to work for...] And it is not the fault of all the families and communities that supported manufacturing plants throughout the generations. Rather, it is a failure of leadership -- from Washington to Detroit -- that led our auto companies to this point. [BINGO! Obama speaks the TRUTH!]
Year after year, decade after decade, we have seen problems papered-over and tough choices kicked down the road [by Congress], even as foreign competitors outpaced us. Well, we have reached the end of that road. And we, as a nation, cannot afford to shirk responsibility any longer. [What the heck does this mean?] Now is the time [for who?] to confront our problems head-on and do what's necessary to solve them.
We cannot, we must not, and we will not let our auto industry simply vanish. [Why not? -- And, what makes you think it will "simply vanish" if the federal government does nothing?] This industry is, like no other, an emblem of the American spirit; a once and future symbol of America's success. It is what helped build the middle class and sustained it throughout the 20th century. It is a source of deep pride for the generations of American workers whose hard work and imagination led to some of the finest cars the world has ever known [along with some of the crappiest, which caused other car companies to fail, by the way...]. It is a pillar of our economy that has held up the dreams of millions of our people. [Can I stop saluting now?] But we also cannot continue to excuse poor decisions. [Why does our President think the federal government should be involved in evaluating the relative goodness of the inept decisions made by the inept leaders of a private company?] And we cannot make the survival of our auto industry dependent on an unending flow of tax dollars. [Make that "ANY" tax dollars...] These companies -- and this industry -- must ultimately [...yea, verily, even now...] stand on their own, not as wards of the state. [Amen brother!]
That [...what?...] is why the federal government provided General Motors and Chrysler with [unconstitutional] emergency loans to prevent their sudden collapse at the end of last year -- only on the condition that they would develop plans to restructure. In keeping with that agreement, each company has submitted a plan to restructure. But after careful analysis, we have determined [in an unconstitutional manner] that neither goes far enough to warrant the substantial new [and unconstitutional] investments that these companies are requesting. And so today, I am announcing that my administration will [unconstitutionally] offer GM and Chrysler a limited period of time to work with creditors, unions, and other stakeholders to fundamentally restructure in a way that would justify an investment of additional [unconstitutionally-confiscated] tax dollars; a period during which they must produce plans that would give the American people confidence [won't happen -- can't happen] in their long-term prospects for success.
What we are asking is difficult [...and unconstitutional]. It will require hard choices by companies. [The choice is EASY. JUST SAY NO to government "aid."] It will require unions and workers who have already made painful concessions to make even more. It will require creditors to recognize that they cannot hold out for the prospect of endless [and unconstitutional (am I making my point yet?)] government bailouts. Only then can we ask American taxpayers who have already put up so much of their hard-earned money to once more invest [Invest? INVEST?? I don't think so! -- You're STEALING our money to give to private companies! We can already VOLUNTARILY invest by buying the company's STOCK -- WHICH IS WORTHLESS BECAUSE GM IS WORTHLESS, and no one will buy their stock!!!] in a revitalized auto industry. But I am confident that if we are each willing to do our part, then this restructuring, as painful as it will be in the short-term, will mark not an end, but a new beginning for a great American industry; an auto industry that is once more out-competing the world; a 21st century auto industry that is creating new jobs, unleashing new prosperity, and manufacturing the fuel-efficient cars and trucks that will carry us toward an energy independent future [on the backs of the few remaining productive taxpaying Americans]. I am absolutely committed to working with Congress and the auto companies to meet one goal: the United States of America will lead the world in building the next generation of clean cars [...no matter HOW unethical our actions might have to be in achieving this noble goal].
No one can deny that our auto industry has made meaningful progress in recent years. [Huh?] Some of the cars made by American workers are now outperforming the best cars made abroad. [Huh?] In 2008, the North American Car of the Year was a GM. This year, Buick tied for first place as the most reliable car in the world. [It's a SAD DAY for automakers everywhere...] And our companies are investing in breakthrough technologies that hold the promise of new vehicles that will help America end its addiction to foreign oil [Good! Let's let them do just that, if they can, without any government interference, OK?].
But our auto industry is not moving in the right direction fast enough to succeed. [WHO has made this determination, if not the ONLY legitimate authority -- shareholders and share sellers in the free marketplace?] So let me discuss what measures need to be taken by each of the auto companies requesting [all together now -- "unconstitutional!"] taxpayer assistance, starting with General Motors. While GM has made a good faith effort to restructure over the past several months, [in who's opinion?] the plan they have put forward is, in its current form, not strong enough [Fine -- Let them fail!]. However, after broad consultations with a range of industry experts and financial advisors, I'm confident that GM can rise again, provided that it undergoes a fundamental restructuring [RIGHT! As in Bankruptcy -- let them fail!]. As an initial step, GM is announcing today that Rick Wagoner is stepping aside as Chairman and CEO. This is not meant as a condemnation of Mr. Wagoner, who has devoted his life to this company; rather, it's a recognition that it will take a new vision and new direction to create the GM of the future. [This is most disturbing -- the President of the United States has demanded and received the resignation of the CEO of one of the (formerly) largest companies in the world...]
In this context, my administration will offer General Motors adequate working capital over the next 60 days. During this time, my team [Central Planners as in the Former Soviet Union] will be working closely with GM to produce a better business plan. [Better according to WHO?] They must ask themselves: have they consolidated enough unprofitable brands? Have they cleaned up their balance sheets or are they still saddled with so much debt that they can't make future investments? And above all, have they created a credible model for how to not only survive, but succeed in this competitive global market? Let me be clear: the United States government has no interest or intention of running GM [Then What the heck do you call THIS???]. What we are interested in is giving GM an opportunity to finally make those much-needed changes that will let them emerge from this crisis a stronger and more competitive company. [ONLY the free market can make this determination, AND they have already done so -- let GM GO AWAY! It is a failed enterprise!!! Mr. President, you are wasting our time and money with all this illegal, unconstitutional arm-waving!!!]
The situation at Chrysler is more challenging. It is with deep reluctance but also a clear-eyed recognition of the facts that we have determined, after a careful review, that Chrysler needs a partner to remain viable. Recently, Chrysler reached out and found what could be a potential partner -- the international car company Fiat [F.I.A.T. -- That's "Fix It Again, Tony!"] , where the current management team has executed an impressive turnaround. Fiat is prepared to transfer its cutting-edge technology to Chrysler [hhmmmmmm...] and, after working closely with my team, has committed to building new fuel-efficient cars and engines here in America. We have also secured an agreement that will ensure that Chrysler repays taxpayers for any new investments that are made before Fiat is allowed to take a majority ownership stake in Chrysler. [OK! Step Right Up Everybody! Buy some stock in the New FIAT/Chrysler! Yay! Can't wait to watch THIS TRAIN WRECK!]
Still, such a deal would require an additional [not to mention, unconstitutional...] investment of tax dollars, and there are a number of hurdles that must be overcome to make it work. I am committed to doing all I can to see if a deal can be struck in a way that upholds [in an unconstitutional manner, of course] the interests of American taxpayers. That is why we will give Chrysler and Fiat 30 days to overcome these hurdles and reach a final agreement -- and we will provide Chrysler with adequate capital to continue operating during that time. If they are able to come to a sound agreement [with my BIG GUN held to their head] that protects American taxpayers, we will consider lending up to $6 billion to help their plan succeed. But if they and their stakeholders are unable to reach such an agreement, and in the absence of any other viable partnership, we will not be able to justify investing additional tax dollar to keep Chrysler in business. [I can't even believe our President has uttered these words in public on the world stage... Didn't we just go through all this with Lee Iaccocca thirty years ago? Haven't we learned ANYTHING? It didn't work then, and it won't work now! It was just as unconstitutional then as it is now!]
While Chrysler and GM are very different companies with very different paths forward, both need a fresh start to implement the restructuring plans they develop. [Yes, it's called BANKRUPTCY] That may mean using our bankruptcy code as a mechanism to help them restructure quickly and emerge stronger. [So why waste all this time and all these BILLIONS of taxpayer dollars? Just Do It!] Now, I know that when people even hear the word "bankruptcy" it can be a bit unsettling, so let me explain what I mean. What I am talking about is using our existing legal structure as a tool that, with the backing of the U.S. government, can make it easier for General Motors and Chrysler to quickly clear away old debts that are weighing them down so they can get back on their feet and onto a path to success; a tool that we can use, even as [overpaid, inefficient union] workers are staying on the job building [crappy] cars that are [not] being sold. What I am not talking about is a process where a company is broken up, sold off, and no longer exists. And what I am not talking about is having a company stuck in court for years, unable to get out. [Right. I am not talking about this.]
[As a constitutional law scholar, It is my hope that the [unconstitutional] steps I am announcing today will go a long way toward answering many of the questions people may have about the future of GM and Chrysler. But just in case there are still nagging doubts [gee, ya think?], let me say it as plainly as I can -- if you buy a car from Chrysler or General Motors, you will be able to get your car serviced and repaired, just like [you have ]always [had to do, all the time!]. Your warrantee [..uh, Sir, that's, uh, "warranty..."] will be safe. In fact, it will be safer than it's ever been. Because starting today, the United States government will stand behind your warrantee.
But we must also recognize that the difficulties facing this industry are due in no small part to the weakness in our economy. Therefore, to support demand for auto sales during this period, I'm directing my team to take several steps. First, we will ensure that Recovery Act funds to purchase government cars go out as quickly as possible and work through the budget process to accelerate other federal fleet purchases as well. Second, we will accelerate our efforts through the Treasury Department's Consumer and Business Lending Initiative. [Let's let that one sink in for a moment, shall we... the Treasury Department's Consumer and Business Lending initiative... I can only hope that this is simply the government encouraging consumers and businesses to borrow responsibly...] And we are working intensively with the auto finance companies to increase the flow of credit to both consumers and dealers. [Ooops! Should have known. On the one hand, Obama says our problems are due to the Fed setting interest rates too low and consumers borrowing too much, and on the other hand he says our consumer spending has to increase...] Third, the IRS is today launching a campaign to alert consumers of a new tax benefit for auto purchases made between Feb. 16 and the end of this year -- if you buy a car anytime this year, you may be able to deduct the cost of any sales and excise taxes. This provision could save families hundreds of dollars and lead to as many as 100,000 new car sales. [Once again, the federal government using the unconstitutional income tax policy as a tool to punish one class of citizen, and reward another.]
Finally, several members of Congress [Oh boy, now I'm encouraged..] have proposed an even more ambitious incentive program to increase car sales while modernizing our auto fleet. Such fleet modernization programs, which provide a generous credit to consumers who turn in old, less fuel efficient cars and purchase cleaner cars have been successful in boosting auto sales in a number of European countries. I want to work with Congress to identify parts of the Recovery Act that could be trimmed to fund such a program, and make it retroactive starting today. [Let there be no doubt, this will be a Rube Goldberg kludge program of the highest order.]
Let there be no doubt, it will take an unprecedented effort on all our parts -- from the halls of Congress to the boardroom, from the union hall to the factory floor -- to see the auto industry through these difficult times [...or, we can do the right thing and let them go bankrupt quickly and cleanly]. But I want every American to know that the path I am laying out today is our best chance to make sure the cars of the future are built where they've always been built -- in Detroit and across the Midwest; to make America's auto industry in the 21st century what it was in the 20th century -- unsurpassed around the world. [Yes America, together we can push back the auto industry A HUNDRED YEARS!!!] This path has been chosen after consulting with other governments that are facing this crisis. [Right! Let's make sure we consult only with other EXPERTS in the auto industry!!] We have worked closely with the government of Canada on GM and Chrysler, as both companies have extensive operations there. The Canadian government has indicated its support for our approach and will be announcing their specific commitments later today. [I am dutifully holding my breath.]
While the steps I am talking about will have an impact on all Americans, some of our fellow citizens [...productive workers who pay taxes...] will be affected more than any others. And so I'd like to speak directly to all those men and women who work in the auto industry or live in the countless communities that depend on it. Many of you have been going through tough times for longer than you'd care to remember. And I will not pretend the tough times are over. I cannot promise you there isn't more pain to come. But what I can promise you is this -- I will fight for you. [Why?] You are the reason I am here today. [Ah yes! All those union contributions!] I got my start fighting for working families in the shadows of a shuttered steel plant and I wake up every single day asking myself what I can do to give you and working people all across this country a fair shot at the American dream. [How about, "Go away and leave the federal government out of these radical interventionist tactics that interfere with private businesses?"]
When a community is struck by a natural disaster, the nation responds to put it back on its feet. [You know, like we did after Hurricane Katrina...] While the storm that's hit our auto towns is not a tornado or a hurricane, the damage is clear, and we must respond. [FAIL!] That is why today, I am designating a new Director of Recovery for Auto Communities and Workers [DirRecCoWo, or "Dracula" for short] to cut through red tape [created by my appointment of a new "Dracula"] and ensure that the full resources of our federal government [Oh My God! Not That!] are leveraged to assist the workers, communities, and regions that rely on our auto industry. Edward Montgomery, a former Deputy Labor Secretary, has agreed to serve in this role [as my new Dracula]. Together with Labor Secretary Solis and my Auto Task Force, Ed will help provide support to auto workers and their families, and open up opportunity in manufacturing communities [by radically increasing the federal government's unconstitutional spending of your hard-earned income, taken away from you under threat of force]. Michigan, Ohio, Indiana, and every other state that relies on the auto industry will have a strong advocate in Ed. He will direct a comprehensive effort that will help lift up the hardest hit areas by using the unprecedented levels of funding [money taken from the few remaining productive taxpayers] available in our Recovery Act and throughout our government to create new manufacturing jobs and new businesses where they are needed most -- [where the free-market wants them to be] in your communities. And he will also lead an effort to identify new initiatives we may need [like throwing Christians and bitter, clinging gun owners to wild lions in the Superdome] to help support your communities going forward.
These efforts, as essential [and unconstitutional] as they are, will not make everything better overnight. There are jobs that cannot be saved. There are plants that will not reopen. And there is little I can say that can subdue the anger or ease the frustration of all whose livelihoods hang in the balance because of failures [of government] that weren't theirs.
But there is something I want everyone to remember. Remember that it is precisely in times like these -- in moments of trial, and moments of hardship -- that Americans rediscover the ingenuity and resilience [of Free Markets] that makes us who we are. That made the auto industry what it once was. That sent those first mass-produced cars rolling off assembly lines. That built an arsenal of democracy that propelled America to victory in the Second World War. And that powered our economic prowess in the first American century. [Cue the music! Drop the balloons! Light the fireworks!]
Because I know that if we can tap into that same ingenuity and resilience right now; if we can carry one another through this difficult time and do what must be done; [if we can firmly plant the seeds of Marxism and Socialism in the garden of Free Enterprise]: then we will look back and say ["Wow! Look at ALL THOSE WEEDS choking the life out of our vegetables!"] that this was the moment when America's auto industry shed its old ways, marched into the future, and remade itself, once more, into an engine of opportunity and prosperity, not only in Detroit, and not only in our Midwest, but all across America. [Wave the flags! Crescendo the music! Shed a tear, for the death of capitalism and free markets...]
~President Barrack Obama
Monday March 30th, 2009
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