GM Spirals the Drain (Part 2)

[Kuciwalker]

Originally posted by KrazyHorse
Why should we subsidize fuel-efficient cars instead of doing the rational thing and taxing fuel use?

Because one is politically feasible while the other is not.

Unlike Drake's question, yours has a legitimate answer.

[MrFun]

Originally posted by DanS
What is the rationale for subsidizing a Michigan autoworker against a South Carolina autoworker?

Northerners are inherently superior to Southerners.

[KrazyHorse]

what would be said of the separate argument that a bailout would be cheaper than creating a public charge? In other words, that it would be cheaper for society at large to pay 30 cents on the dollar to subsidize X amount of workers' jobs, as opposed to paying 100 cents on the dollar through unemployment benefits (and eventual welfare) after they're laid off?

The amount of money the automakers need is so staggering per employee that it's hard to imagine that UI benefits would total more than that. I posted this number somewhere on this thread.

[KrazyHorse]

Originally posted by Kuciwalker


Because one is politically feasible while the other is not.

That's not an answer. Promote economic literacy where you can!

[KrazyHorse]

Not to mention that the cars workers are building right now are just glutting the market even more. The marginal value of those excess cars is tremendously low.

[KrazyHorse]

Originally posted by KrazyHorse


That's not an answer. Promote economic literacy where you can!

Or, failing that, demonstrate that oil producers pay part of any fuel tax. Draw cartoons with Uncle Sam pickpocketing Arabs.

[Naked Gents Rut]

CAFE standards

Carbon tax

[Zkribbler]

Originally posted by Naked Gents Rut
CAFE standards

Carbon tax

Naked Gents is saying raise taxes?!

[Sandman]

Originally posted by KrazyHorse
Not to mention that the cars workers are building right now are just glutting the market even more. The marginal value of those excess cars is tremendously low.

Especially since it'll be difficult to get parts for a car made by a bankrupt company.

[KrazyHorse]

Nah. Independent suppliers should take care of that pretty easily, even if the companies disappear (which is not likely result of bankruptcy)

[Naked Gents Rut]

Naked Gents is saying raise taxes?!

There's nothing wrong with smart taxes.

[MrFun]

I think Drake is suffering from some kind of bad fever right now.

[Naked Gents Rut]

I do have a fever and the only prescription is a Pigouvian tax on carbon.

[KrazyHorse]

Well, that or the subsidization of obscure percussion instruments.

[Dinner]

Joe the Plumber would rather see Joe the Banker's CEO get a handout than Joe the Autoworker's employer surviving. One is helping out honest-to-goodness capitalists. The other is socialism.

Senators that love Joe the Banker but hate Joe the Autoworker:

Bob Bennett, R-UT
Richard Burr, R-NC
Saxby Chambliss, R-GA
Tom Coburn, R-OK
Norm Coleman, R-MN
Bob Corker, R-TN
John Ensign, R-NV
Chuck Grassley, R-IA
Judd Gregg, R-NH
Orrin Hatch, R-UT
Kay Bailey Hutchison, R-TX
Johnny Isakson, R-GA
John Kyl, R-AZ
Mel Martinez, R-FL
John McCain, R-AZ
Mitch McConnell, R-KY
Lisa Murkowski, R-AK
John Thune, R-SD

All voted for the Wall Street bailout, but against the much smaller automobile bailout.