Canadian Bailout Czar Bails Out

canadian bailout czar bails out

Canadian Prime Minister Stephen Harper drafted former Molsons boss Jim Arnett less than three weeks ago to advise on auto industry policy. Now that Canada has commited $4b Canadian ($3.25b American) to Chrysler and GM, Arnett has resigned his position. The Star reports that “the Conservative government never really saw eye-to-eye with Arnett on what needed to be done,” but that Arnett will continue to advise the Ontario provincial government. Arnett, who advised the government on the 2004-2006 steel industry restructuring, was not available to comment on why he quit. Sources say Arnett “couldn’t reach the appropriate terms of reference” with the federal government. If we had to guess why Arnett might have left, we’d say it probably has something to do with Harper’s seemingly boundless enthusiasm for handing taxpayer money to Detroit. “I will not fool you. There is obviously money at risk here and there may be, well, more money as we go forward,” Harper told reporters when the Canadian bailout plan was announced.

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  • Rcguy Rcguy on Dec 22, 2008

  • Kurt B Kurt B on Dec 22, 2008

    Here's my solution since nobody asked (yet are happy to spend my tax dollars). Canadian gov't backstops Magna to buy Chrysler's Canadian operations - minivans/300/Challenger/Charger. They then supply the vehicles as OEM to Chrysler or directly through the dealers. That seems a lot better to me than throwing the money straight down the toilet.

  • Mikey Mikey on Dec 23, 2008

    And the award goes to crackers, you nailed it dude.Stephen Harper is a ultra conservative.Who knows what Harper would do with a majority.A majority Prime Minister answers only to his own party.As soon as President Bush gave the bailout a green light,Harper had to fish or cut bait.I've said it before,the auto industry is the life blood of Ontario.Premier McGuinty has been supportive from the get go.Stephen Harper had to be pushed,to get onboard.

  • Rx8totheendoftime Rx8totheendoftime on Dec 23, 2008

    Harper had no choice politically and Bushoes/Obama had/have no choice either, because of the macroeconomics of the situation. To paraphrase Bushoes, letting the car companies go now risks starting the second Great Depression of the 20th/21st century. Is there a politician who is now alive anywhere in the world that would let that happen or is even capable of taking that chance? Of course, Bushoes could have done something anytime since January, 2001 to prevent this...guess he was just too busy or just plumb know, he made a list then lost it??...guess a Yale MBA isn't worth what it used to be, except being good at allowing the American equivalent of the Afghan warlords to take over the economy for 8 years...Curly (nyuk, nyuk, nyuk) would have made a better President. Bushoes is lucky my size 13s weren't thrown at him...a little harder to dodge...Congratulations American voters for a job well done!!