Romney Would Sell GM Stock, Look For CAFE Alternatives

Derek Kreindler
by Derek Kreindler

The Detroit News interviewed presidential hopeful Mitt Romney on Tuesday, and the Republican candidate-to-be shared his thoughts on government ownership of GM stock and the future of CAFE.

Romney told the paper that he would like to see government-held GM stock sold as quickly as possible

“There is no reason for the government to continue to hold (its GM stake),” Romney, a Detroit native and son of an auto executive, said Friday…The president is delaying the sale of the shares to try and avoid the story that the taxpayer took another loss. I would get the company independent from government and run for the interests of the consumer and the enterprise and its workers — not for the political considerations of government officials.”

Also put on the table was the notion of revisiting the CAFE regulations and perhaps seeking “a better way of encouraging fuel economy”. Romney suggested a market driven approach, with “…vehicles that people want…”rather than government mandates, as a means of spearheading fuel economy increases. Romney claimed that co-operation would be essential to such measures, and also said that electric vehicles are “…a technology that people aren’t interested in.”

Romney’s words will find praise with a certain element on TTAC, but lest we forget that increasing fuel economy also means less revenue for the gas tax… and who knows where that could lead.

Derek Kreindler
Derek Kreindler

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  • TomHend TomHend on Jun 06, 2012

    Get the US government out of everything.

  • Luke42 Luke42 on Jun 06, 2012

    "Romney suggested a market driven approach, with “…vehicles that people want…”rather than government mandates, as a means of spearheading fuel economy increases." Easy! Just add a 25% gasoline tax (about $1/gallon at present prices), and repeal CAFE. Done! Fuel economy is encouraged(but not required), and people can still buy whatever vehicles they wish, in whatever quantities they wish. The proceeds can be used to fix our aging highways, develop EVs, and deal with pollution related to oil extraction and climate change. Perfect! It's a market-driven solution with greatly-reduced regulations, but the Republicans would never go for it.

    • 28-Cars-Later 28-Cars-Later on Jun 07, 2012

      Taxes are never the answer. Toyota (and I believe Hyundai) already laud fuel economy in their marketing, I doubt this is something they will drop given a sudden drop in oil prices or CAFE change. Dot gov should not be collecting funds from my pocket to fund EV development, deal with pollution or non-existent climate change, we are taxed enough already. With regard to infrastructure, I agree funds are lacking but more due to misappropriation (to non-highway costs) and waste than any other single factor. Here in Pennsylvania, the main route from east to west is the PA Turnpike, which was originally set up as a toll road in order to pay for the construction costs dating from 1940. By the early 1980s the bonds were paid for and the original plan was to remove the toll booths and treat it as any other state road, but this never happened. The highway is still a toll road and collected funds go directly into the state's coffers. Why? Spending is a serious addiction, and politicians have no incentive other than personal conviction to stop. Gov spending on all levels needs a serious dose of Weight Watchers but until there is a serious push to do so they would rather spend us into an abyss then step up and do whats right for the nation.

  • Jsal56 Jsal56 on Jun 06, 2012

    “I think our country is in need of a revolution,” Ray Bradbury told the Los Angeles Times in 2010. “There is too much government today. We’ve got to remember the government should be by the people, of the people, and for the people.”

  • Inside Looking Out Inside Looking Out on Jun 13, 2012

    United State is not the first or last multicultural empire in human history. All empires sooner or later collapse because inhabitants cannot agree about anything and have no common values or purpose. America is not nation state like Germany or Japan. It is more like Soviet Union and Roman Empire. Internal conflicts and cultural incompatibility forces government to handle conflicts and try to resolve issues and government eventually grows out of controls. Government growth is like law of gravity or cancerous tissue - nothing can stop it. It grows until it is out of control and finances collapse. In Russia government became too large, collapsed and become smaller but now it rapidly growing again. Yes America was a shining beacon of freedom and hope for people around the world but it was hundred years ago when America had opens spaces and Americans had certain values.