GM Goes Public. Billions Go To Obama Slush Fund And Unions.

[ 0 ] November 17, 2010 |

See, I Told You So: Taxpayers Left Holding the Bag on the GM Bailout
November 17, 2010
Listen To It!

BEGIN TRANSCRIPT

RUSH: I’m getting e-mail, text messages from people who should know better, who are acting all shocked and outraged over the General Motors IPO and how the taxpayers aren’t gonna get paid back, they’re never gonna see anything of what they lent General Motors. I read this stuff and I’m incredulous. Did they think otherwise? How many of you thought the taxpayers were gonna get paid back? And, by the way, what does that even mean? The taxpayers being paid back? You gonna get a check? Are we gonna get a check from General Motors paying back what we so-called lent them? I still have a lot of work to do. I know we have a lot of people on our side who are imbued with the personality characteristic of wanting to assign to people the best of intentions. But these are liberals, for crying out loud, it’s essentially, you know, the Democrat Party is a criminal enterprise disguised as a political party. We know what the GM bailout, Chrysler bailout was. It’s to give the unions ownership to protect their health care benefits. The true investors in GM and Chrysler, for example, got hosed. And Obama told ’em they were being childish.

Taxpayers being paid back, and certain people are not gonna be allowed to get into the IPO, and the IPO share price is false and inflated — of course it is! It’s an insider’s game. Sometimes I’m shocked. Sometimes I actually think I’m the only smart guy left. That is not the way to put it. I’m the only guy not susceptible to the fact that they might be doing something right, they might be doing something for the good of the country, they might actually have best intentions. I do feel like a lone wolf, like it’s a waste of time to even reply to this stuff. But I do because I, ladies and gentlemen, am a nice guy. All of this, this bipartisanship, this working together, it’s all phony. The question should always be, “What do the American people want?” Obama didn’t care what the American people want when it comes to health care or anything else, cap and trade, doesn’t care about that. This party, this administration, regime, has been governing against the will of the people from the moment it was immaculated. Obama, Emanuel, they didn’t care what the American people wanted. In fact, it’s in spite of the American people this stuff gets done. I mean you, we, the people, we are obstacles just as much as the Democrats are.

Staying on the financial side of things, from the Business Insider: “Analysis of weekly unemployment data and covered employees shows that 5,977,844 benefit paying jobs have been lost in the last year.” There’s my favorite word “benefits” again. An analysis of weekly unemployment data show that six million benefits paying jobs have vanished in one year. Of course, they say it’s a covered employee, “The exact meaning of ‘covered employee’ varies slightly state to state, but not by much. In simple terms it means one is eligible for unemployment insurance benefits. Most states exclude the self-employed, commission based employment such as real estate agents, those in student training programs, academic and hospital internships, employment by churches or religious organizations, and rehabilitation programs. Self-employed individuals must pay into unemployment insurance programs, however, the self-employed are not eligible for benefits anywhere.” They have to pay in but they’re not eligible because they’re self-employed. “By the above interpretation, it is safe to conclude that 5,977,844 jobs totally vanished (not just benefit paying jobs). The only way that cannot be true is if there was a sudden shocking increase in the number of real estate agents, church hiring, or close to 6 million people all of a sudden decided to go into business for themselves,” which we know didn’t happen.

And this from CNNMoney.com: “Unemployed Americans have collected $319 billion in jobless benefits –” there’s that word again “– over the past three years due to the federal government’s unprecedented response to the Great Recession.” They actually write those words here in the CNN story, the Great Recession, with caps, capital G, capital R, Great Recession. “The cost of such benefits will be central to the heated debate in Congress in coming weeks over whether to extend this safety net for the fifth time this year. Lawmakers must act by Nov. 30 or two million people will start losing extended benefits next month.” There’s that word benefits again, unemployment benefits. You gotta arrange your life to get your benefits. You gotta get benefits.

“Businesses are usually hit with higher unemployment tax rates for several years after a recession in order to refill both state accounts and the federal trust fund, which provides loans to states and pays a portion of the extended benefits. Taxpayers have had to advance the federal trust fund $39 billion that will have to be repaid by employers in coming years. The rising unemployment taxes make some employers think twice about expanding their payrolls, Holmes said.” So it’s almost a catch-22. Business taxes have to go up to pay for these benefits and when taxes go up they don’t hire anybody. That’s the cost of unemployment. As I say, a catch-22.

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Category: Economics, Markets and Trading, Uncategorized