U.S. expected to own 70% of restructured G.M.

It's fascinating to be reminded of how misguided about the real business world I once was.

Now that we own GM can we begin to dictate that we want solar cars that run for 1000 miles, store their own power, w/ a V6 engine, and look real cool.
For everyone claiming socialism, they fail to understand we already have a socialized police force, library system, fire department, mail,..etc, etc.

courage, what miracle do you think McCain/Palin had in their pockets. What do you think they would have been able to do differently. I don't hear any solutions coming from John McCain, or the Republican party in general. It's easy to throw stones, it's hard to find solutions.

If McCain has any words of wisdom, don't you think he should share them? He's still a Senator, isn't he? One does not have to be President, to come up with workable answers.

Capitalism being destroyed, didn't start in January, 2009. It's time for people to take responsibility for how we got to the position we are in today. Putting it all on the back of President Obama is spinning, it's not fact. Fact is, these problems didn't happen over night. We had George W. for eight years, he did a wonderful job, didn't he? How did capitalism flourish under George W.? It didn't, that's why we are forced to deal with his failings today! George W. let these problems build to fruition under his watch. Now we are forced to deal with issues, which he ignored. He was busy clearing brush in Crawford.

If we own the company can we force them to make car people actually want to buy: affordable plugin hybrids.

Obama motors is closing dealerships,The way they decide who gets the axe is who gave republicans campaign funds.America land of the free Home of the brave.You voted to destroy capitalism that was really brilliant.

The govt needs to let this company fail and let capitalism work. They are only prolonging and making the pain worse. We have to go through some hurt before we get better. The govt and US have over spent and now they have to pay the price. Buck up, start saving and producing. that's the only way out.

If American taxpayers are going to own 70% of GM, will we be able to bring the manufacturing facilities located in other countries, back to America?

I didn't think it was a good practice when GM started building production facilities in other countries, while claiming to be an American company. They shipped jobs to other countries, supposedly as a cost saving measure. Apparently their thinking was incorrect. They didn't save money, they lost money and now we are supposed to ‘own’ their bad judgment?

If we own GM, let's bring GM back to American soil. If China, Canada, Mexico and Brazil want GM factories in their countries, their governments, or private investors can pay us. We can sell them those plants, but why the hell should Americans be forced to pay for them?

American owned, should be American built in America. If we bring back the work, which has been out- sourced to other countries, we can bring back the jobs and the tax base from the employees here in America. We are being forced to bail them out! We should get the jobs!

Oh noooo. Socialism is coming to kill us all!

They are only prolonging the inevitable. Look at what gov has done with social security, post office, amtrak, public schools...The government is inefficient and never gives back power. If GM failed the workers would go to the better company that replaced them. We are creating a nation of dependents.

I doubt that the government has any intention of holding a majority stake in GM forever. This measure is only intended to keep GM afloat through these difficult economic times. Once this recession is over GM shares will likely be redistributed to private ownership.

Every single person on this post who doesn't like this move just repeats "socialism" over and over again. It's like a 4 year old in the grocery store.

Form an argument. Because the compelling thing to me is that the alternative would be FOUR MILLION PEOPLE LOSING THEIR JOBS. Your dogma and your tunnel vision make me sad.

Wow, GM! What’s next? Invest on the VHS companies?

But seriously, what is worse? Bankruptcy or “socialism”?

It's another blow to capitalism to pay off union votes. The Chicago gang is totally corrupt.

what are we communist now

Not a good day in america. It is a shame when tax payer money is used to prop up a bankrupt corporation. Last I checked, the government was established for purposes that do not involve running a car manufacturing company... I could be wrong though.

I see the logic behind it but i personally disagree with this move.

So does that mean we can retool the factories to make "zero pollution" cars now ? Or would that make too much sense long term ?

ihatethemall,

My post was two hours ago, and I didn't write to anyone -- in fact I don't believe I have ever directed anybody to an article on which I have commented since I started contributing to this site. So I assume you are not referring to me when referring to "pretty weak, dude."

But from what I can see, about an hour after MY post all of the posts that take the position contrary to yours were written by one person -- Varex_Sythe -- who seems like a knowledgeable guy (gal?), but I don't recall having ever seen that name or icon before (no offense, Varex, I just don't remember seeing your name before). Who are all these people you are talking about that are expressing the sudden interest?

In response to your post, akamai: no, the government's purchase of a 70% interest in General Motors is not, by itself, evidence of socialism. It is not even "socialistic." And it is certainly not a sign that the American economic system can now be described as "Socialism" as opposed to "Capitalism."

But these labels are of limited value anyway. I don't think you could look at ANY period of American history and say that our economic system was one of pure capitalism -- certainly not in the last 150 years. I think most Americans, myself included, believe that markets should be as free as we can reasonably make them.

I have spent the bulk of my career focused on the telecommunications industry, working through issues relating to its transition from a largely regulated monopolistic environment to one that is driven much more by competition. I have been greatly impressed by the degree to which competition or even just the THREAT of competition has acted to reduce prices, spark innovation and improve customer service.

The transition has not been without glitches, of course, and most people have, at one time or another, longed for the simplicity and reliability of the old monopoly system. But the evidence is overwhelming that a competitive marketplace offers far more benefits to consumers than that of a regulated monopoly.

On the other hand, competition has failed to develop in some areas (remote rural areas, especially), and some degree of regulatory oversight (socialism?) is still needed there to protect consumers from monopolistic abuse.

I notuiced a huge interset in the story in the last couple minutes. wonder if someone wrote all their friends and told them to get on this story and start giving the people who were crying socialism a hard time? wonder who that could have been. I know who i'm talking about. and so does the guy I'm talking about.
Pretty weak dude.

This really is no more of a government take over than previous bailouts that have occurred with the auto industries over the past many decades. The only real difference is that the auto companies have actually gotten themselves in deep enough shit that they might have to surrender the companies to the government because they won't be able to repay the government loans that they have received.

Wouldn't it be like a bank foreclosing on a house loan because the person who received the loan couldn't make the payments?

None-the-less, the government under Obama DID seize control over a publicly held company, slice it any way you want, it is still a rendering of socialism.

I am frankly puzzled as to why we are suddenly seeing all of these panicky references to socialism. The United States has enacted many, many social programs over the course of the past century or so -- regardless of which party controlled Congress or the White House, or both. The most recent example was the Bush prescription drug debacle. As far as I can see, the program has done little good but is picking our pockets for billions in administrative costs for the bureaucracy that was created to manage the program.

If you wanted to stop the spread of socialism in the United States, I am afraid that horse left the barn back around World War I.

As to Obama being the CEO of General Motors: Yes, I am sure he sits alone in the White House at night, rubbing his hands together and cackling with glee at the prospect of taking the helm at one of the worst-run major corporations on the planet -- one with layer upon layer of intractable financial problems (their underfunded pension situation ALONE would give ME nightmares), employee morale problems, existing and soon-to-be-existing lawsuits -- that also happens to be in the very brink of being put into receivership (at which time the CEO will have little real power anyway).

Talk about EVIL GENIUS! Obama could have had the government purchase any number of healthy, profitable companies and claimed that it was his competence that was responsible for its continued success. Instead, he picked the very bottom of the barrell -- a company that could not be rescued by a dozen geniuses armed with a boatload of cash (or even TWO boatloads). There is virtually NO outcome for General Motors that could reflect well on the Obama Administration -- yet he has seized the situation by the throat anyway. DIABOLICAL!!!

looks like they have nothing left to say. The proof is right here. What will the government take over next?
The railroad? Air lines? Trucking companies that are failing? { and there are many of those}

Interesting to me...where's the lefties jamming up the message boards on this article?

Socialism wouldn't be so bad if the government was made to be for the people.

and to think there are still fools who believe that we are not headed for socialism.

How far is their head actually stuck up their ass?

Socialism! The Victory of Dear Leader! The thought of the US government running GM, and GM having Obama as Chairman and C.E.O. makes me want to vomit. We see what happens when a government starts building cars- consider the LADA or the YUGO. Maybe Obama will appoint his daughters to the design department.....

I certainly mean no disrespect, but if the government is going to use my tax dollars to purchase corporate stock, I would prefer that they invest in companies that are solvent...

I guess we'll know what kind of cars the government will be driving.

AAAAGGHHH! Socializm!! Everybody hit the fuckin' deck! 'Tis the apocalypse!!!

ZOMG!