Bailout Watch 122: McCain: Spend the First $25b, THEN We'll Talk

bailout watch 122 mccain spend the first 25b then well talk

Interesting strategy: tell Michigan voters you support the bailout (small “b”) but not THE BAILOUT (big ass “B”). Well, not yet. The position is a nuanced modification of Senator McCain’s previous flip-flop. Regular readers will recall that the presidential candidate was against any bailout to American automakers– before he decided to sacrifice his principles (whatever love is) to appeal to voters inside Motown’s battleground state. The AP [via The Detroit News] reports on Senator McCain’s Detroit dirty dancing on Meet The Press. “Republican presidential nominee John McCain declined Sunday to support an additional $15 billion in funding to help U.S. automakers weather a difficult economic climate but did not rule it out… ‘Let’s get the first $25 billion to them first,’ said McCain, adding that the government could ‘see how that works before we say we’re going to give you some more.'” Right. $25b in no to low-interest loans for “retooling” will save Ford, GM and Chrysler’s bacon. Yes Chrysler. Remember Chrysler? Anway, a refresher: “Obama has also said the loan program should to be doubled to provide $50 billion.” And get this: “The Ann Arbor, Mich.-based Center for Automotive Research has estimated that General Motors Corp., Ford Motor Co. and Chrysler LLC may need a $15 billion bailout to survive the nation’s financial crisis, which has led to sluggish sales and limited the availability of credit for auto loans.” I am astounded that the AP AND The Detroit News would let such an absurd statement go unchallenged. As they BOTH well know, GM is burning through $1b per month. Shame on them.

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  • Psarhjinian Psarhjinian on Oct 27, 2008
    This is a website that once praised John McCain for telling Michigan voters that he “doesn’t believe government should bailout any industries. Period.” Why do we admire the quality of thinking in absolutist terms? Is that the elusive idea of having “principles?” +1. I'm glad you brought this up. I think this started when "flip-flopping" became a mortal political sin. It's part of a larger trend: it's no longer appropriate to take stock of one's situation and change direction, because it throws any decision you have or ever will make into question. You show yourself as fallible, and are shortly made mincemeat of by absolutists. It's also what's gotten a lot of corporations--GM comes to mind, but there are many others--into trouble. They cannot, ever, admit that they might be wrong because of the liability issues that might arise, so instead they pile on the excuses, lies and harebrained strategies ever higher to stave off the eventual failure because the feel they have no choice. Admitting that you have a problem is the first step to fixing it, but the current political/legal climate almost totally prevents a leader from making that kind of admission, thus forever chaining them to their current state, lest they be seen as weak, liable or a "flip-flopper". Meanwhile, you have people like Kat Watanabe admitting that, yes, Toyota has screwed up with regards to growth-versus-quality, and that they have plans in place to address it.

  • Koblog Koblog on Oct 27, 2008

    How many here seriously believe Obama will save the U.S. car market? Or give 95% of American workers a tax cut while simultaneously promising to raise every other conceivable tax? Or make Detroit an honest city? Or lower the ocean level? Or provide "free" health care?

  • MRF 95 T-Bird Sears and JC Whitney also had similar dune buggy kits. The VW accessories along with the running gear for legal use just bolted on. Hmm Amazon? A Bradley GT or Kelmark kit using an electric “skateboard” platform would also be cool.
  • Inside Looking Out Cadillac now associates with rap music. In the past it was all about rock'n'roll. Rap is environmentally friendlier than rock'n'roll.
  • EBFlex This is nothing compared to what Ford is doing. The fake lightning is seeing massive price increases for 2023. Remember how they self pleasured themselves about the fake lightning starting under $40k? In 2023, the price jumps by a very Tesla like $7,000. And that’s not the biggest price jump. And much less talked about, the government fleet discounts are going away. So for a basic 3.3L Explorer, the price is jumping $8,500. S basic F150 is also now $8,500 more. Im sure the same people that complained about the oil companies making “obscene profits” will say the same thing about Ford.
  • Bobbysirhan Sometimes it seems like GM has accepted that the customers they still have are never going to come to their senses and that there aren't any new dupes on the horizon, so they might as well milk their existing cows harder.
  • Buickman how about LowIQ?