Right Change: Obama Wants Bailouts For Every Industry?

Priorities USA released a new Obama campaign ad this week in which Joe Soptic explains how Mitt Romney directly led to the death of his wife. The only problem with the ad is that it is completely false, misleading and is perhaps the worst ad ever released by a campaign in modern history. Priorities USA and the Obama campaign have not only stooped to a sickening new low for any president, they have now been caught in a web of lies.

At a campaign stop in Pueblo, Colorado, while no doubt spreading false accusations about Mitt Romney, Barack Obama boasted about the success of the auto industry bailout and essentially touted his belief that the government should bail out every industry.

“I said, I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back,” he said. “Now I want to do the same thing with manufacturing jobs, not just in the auto industry, but in every industry."

“I don’t want those jobs taking root in places like China, I want those jobs taking root in places like Pueblo,” Obama told a crowd gathered for a campaign rally at the Palace of Agriculture at the Colorado State Fairgrounds here.

So were the auto bailouts successful? Well, supporters of the bailout say that GM and Chrysler have completely paid back their loans, but unfortunately that is not true. The tax payer loans will likely never be paid back in full.

The Heritage Foundation completed an extensive study that shows tax payers will lose nearly $23 billion on the bailout. Not only did the bailout cost tax payers billions of dollars, the Obama administration schemed with the UAW to save their pensions while destroying non-unionized workers.

“I worked for 34 years at GM/Delphi Corp. When Delphi went bankrupt, we lost everything,” Dana Strickland of Michigan wrote me. “Because I was salaried (middle management), we lost our pension and health insurance. I did not belong to the union, so GM/Delphi could have cared less. I have never felt so betrayed. We never hear this brought to the public’s attention. People need to know how we were screwed, while the Obama administration kissed up to the union.”

The Heritage Foundation report goes on to state:

The U.S. government will lose about $23 billion on the 2008-2009 bailout of General Motors and Chrysler. President Obama emphatically defends his decision to subsidize the automakers, arguing it was necessary to prevent massive job losses. But, even accepting this premise, the government could have executed the bailout with no net cost to taxpayers. It could have—had the Administration required the United Auto Workers (UAW) to accept standard bankruptcy concessions instead of granting the union preferential treatment. The extra UAW subsidies cost $26.5 billion—more than the entire foreign aid budget in 2011. The Administration did not need to lose money to keep GM and Chrysler operating. The Detroit auto bailout was, in fact, a UAW bailout.

With corrupt Chicago politics permeating the Obama White House, the last thing America needs is for the government to take over more industry. The combination of lower taxes, smarter regulation, and more personal responsibility is the solution to an ailing economy. Had the government let the free market work itself out, the auto industry would have restructured as normal, the UAW would not have received billions in preferential treatment, and GM would not continue wasting billions on cars like the unprofitable Chevy Volt on the tax payers dime. 

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