FLASHBACK: Republicans Warned That GM Rescue Was ‘Road Toward Socialism,’ ‘Predictable’ Disaster

[ProSense]

FLASHBACK: Republicans Warned That GM Rescue Was ‘Road Toward Socialism,’ ‘Predictable’ Disaster

This morning, a rejuvenated General Motors made its initial public offering of stock, hoping raising $23.1 billion. As a result of the offering, which is the largest in the nation’s history, the federal government’s ownership in the auto company was halved “and billions of dollars in bailout money was returned to the federal government.” According to the New York Times, “a complete exit by the government could happen even within the next two years.”

“Supporting the American auto industry required tough decisions and shared sacrifices, but it helped save jobs, rescue an industry at the heart of America’s manufacturing sector, and make it more competitive for the future,” said President Obama in a statement today. At the time of the auto company rescue, however, Republicans severely criticized the administration’s effort, warning that keeping the companies from a catastrophic collapse would lead the country down “the road to socialism,” and end in “predictable” disaster:

Rep. John Boehner (R-OH): “Does anyone really believe that politicians and bureaucrats in Washington can successfully steer a multi-national corporation to economic viability?” (6/1/09)

Sen. Richard Shelby (R-AL): “It’s basically going to be a government-owned, government-run company. …It’s the road toward socialism.” (5/29/09)

RNC Chairman Michael Steele: “No matter how much the President spins GM’s bankruptcy as good for the economy, it is nothing more than another government grab of a private company and another handout to the union cronies who helped bankroll his presidential campaign.” (6/1/2009)

Sen. Jim DeMint (R-SC): “Now the government has forced taxpayers to buy these failing companies without any plausible plan for profitability. Does anyone think the same government that plans to double the national debt in five years will turn GM around in the same time?” (6/2/09)

Rep. Tom Price (R-GA): “Unfortunately, this is just another sad chapter in President Obama’s eager campaign to interject his administration in the private sector’s business dealings.” (6/2/09)

ep. Lamar Smith (R-TX): The auto company rescues “have been the leading edge of the Obama administration’s war on capitalism.” (7/22/09)

Rep. Trent Franks (R-AZ): When government gets involved in a company, “the disaster that follows is predictable.” (7/22/09)

more

[FrenchieCat]

1. Will we hear about this disconnect in the GOP predictions vs what is actually happening?

My educated is that NO, we wont.

Will anyone be enraged by the fact that the media never frames the reality of
the GOP's deception as they continue to lie about this President?

Of course not.

[tridim]

2. More recently Repukes and teabaggers have been predicting that the IPO will fail

And that GM shares would drop in value immediately after purchase.

They are dead wrong about EVERYTHING.

[Cirque du So-What]

13. Repukes & teabaggers?

Nostradumbasses are making that exact same prediction right here on DU!

[progressoid]

3. Lets not forget about the media echo chamber...

Fox, Rush, Hannity, Lavine, O'reilly, Palin, Coulter, Beck, etc. ad nauseum.

[jenmito]

4. Rick Perry was on MSNBC this morning saying it's STILL a bad idea for the govt.

to "pick and choose" which companies to help, and they should just be allowed to fail. I'm not sure of his exact words, but he was doing his best to NOT give this admin. any credit.

[bigdarryl]

5. The bigger question is this Administration going to give them selves credit

they seem to be DEATH TONE!! when it comes to Communicating

[jenmito]

8. You mean...

they seem to be "tone deaf"? Yeah, they SHOULD brag about what they've done. (And YOU should stop putting exclamation points in the middle of sentences.)

[tridim]

14. "Death Tone!!!11" is my favorite heavy metal band.

[Historic NY]

6. Jeez...I don't know GM is up in trading & these screwballs above ...

are going to be in charge again. I'm sticking with GM Obama motors.

[louis-t]

7. I know a guy who refuses to buy a GM product.

He calls it "Obama Motors".:eyes:

[Milo_Bloom]

9. Gotta love the corporate scams.

Gm is far from "rescued".

Much like TARP, it is giant scam being pulled on the American people.

For nearly 1 year banks stopped writing down foreclosures, keeping them on the books as assets, so that the bank could show a profit for a few quarters in the row.. after the share price rose, they sold additional shares to pay back the TARP funds and then accelerated the for closures to record levels and returned to their risky ways, on our dime.

Similarly, GM was able to use govt funds to take many of their regular payments off the books, allowing them to show "profits", when they weren't really profits. This helped falsely inflate their stock price, so the company could issue an IPO at an inflated price.



But, unlike TARP, I guess everyone is just fine with this scam because Obama initiated it.

[MyNameIsKhan]

10. what we need is $50 stock price and entire bailout recovered

before 2012, this one news is enough for Pres Obama's reelection.

[Robbins]

11. Remember this

If Obama listened to all the naysayers and allowed GM to go bankrupted the Unemployment would be
a whole lot more that 9.6.GM Is going to pay back the government.Of course noone will mention these
facts.

[Lugnut]

12. K&R n/t