A Comeback Story Americans (Even the GOP) Should Love

[ProSense]

A COMEBACK STORY AMERICANS (EVEN THE GOP) SHOULD LOVE....

The U.S. Chamber of Commerce gets a lot of things wrong, for a lot of wrong reasons. But of particular interest today was Steven Pearlstein's sweeping rejection of Chamber politics, most notably, how wrong it and its president, Tom Donahue, were about President Obama's rescue of the U.S. auto industry.

Perhaps none was more controversial than the decision to rescue Chrysler and General Motors, using $86 billion in taxpayer funds and an expedited bankruptcy process that wiped out shareholders, brought in new executives and directors, forced creditors to take a financial haircut, closed dealerships and factories and imposed painful cuts in wages and benefits on unionized workers. It was an extraordinary and heavy-handed government intervention into the market economy that left the Treasury owning a majority of both companies. As one participant recalls, public opinion was divided among those who believed that the companies should have been allowed to die, those who believed they would never survive bankruptcy and those who believed the government would inevitably screw things up. Among the most vocal skeptics: the Chamber's Donohue.

A year later, the auto bailout is an unqualified success. The government used its leverage to force the companies to make the painful changes they should have made years before, and then backed off and let the companies run themselves without any noticeable interference.

The results, which President Obama will tout on a visit to Michigan on Friday: For the first time since 2004, GM and Chrysler, along with Ford, all reported operating profits in their U.S. businesses last quarter. The domestic auto industry added 55,000 jobs last year, ending a decade-long string of declines. Auto sector exports are up 57 percent so far this year and, thanks largely to new government regulations, the industry is moving quickly to introduce more fuel-efficient vehicles. Most surprising of all, GM and Chrysler have already repaid more than $8 billion in government loans, while GM is preparing for an initial stock offering later this year that would allow the government to recoup most, if not all, of its investment.

There was a time, not long ago, when real business leaders encouraged these kind of public-private partnerships.

It's worth noting that the administration's auto industry bailout not only worked, it exceeded expectations. Just as importantly, it fit comfortably into an existing model -- every time the federal government bails out key national industries, the results are encouraging.

A year ago, the Monthly's Phillip Longman argued that "any honest reading of history suggests that the federal government has quite an impressive record of rescuing institutions considered too big to fail." Quite right. When the government bailed out Lockheed in 1971, the company thrived and taxpayers profited. The government bailed out Chrysler in 1980, and saw similar results. The government bailed out the railroad industry, and saw it flourish.

In each case, the government spent lots of taxpayer money, used bureaucrats to engineer the revival of an industry, recouped the money, and produced a success story. Conservatives howled in every instance, but as is usually the case, their complaints and dire predictions were wrong.

<...>

[KingFlorez]

1. Real Americans (not the GOP) will love this

The GOP will scream and throw things at the walls anytime there is a success.

[ProSense]

2. My fans don't like it either. n/t

[impik]

3. Don't be bothered. There's no difference between the GOP and your "fans" here. Both hates Obama

the same way.

[ProSense]

4. Oh, I don't for a second

believe that facts and good news disappear or can be altered by some people's personality disorders.

[JNelson6563]

5. This is great.

This is what is giving me hope for the economic recovery for the long suffering people of my state, Michigan.

Buy American! :patriot:

Julie

[Exilednight]

6. I do give Obama credit for this, but celebration time is over and time to move on to bigger ........

problems. No time to spend high-fiving and back-slapping.

It's like scoring a touchdown in the Super Bowl while your team is still trailing by three touchdowns and your QB has had a bad habit of fumbling the ball on third down on previous drives.

You run to the sidelines and your coach goes "thada boy, but it's not enough if you wanna win this thing. And whatever you do, don't fumble it again or I'm looking for new QB next season."

[ProSense]

7. "No time to spend high-fiving and back-slapping. "

There is always time for pointing out the good things that have been accomplished.

[Exilednight]

9. Okay, you pointed out. Time to move on. This is why things don't get done.......

people don't push to achieve more. Instead they rather sit around and play cheerleader for small victories.

[ProSense]

10. "Okay, you pointed out. Time to move on." Here's a better idea

ignore the post and stop trying to order people around.

"This is why things don't get done......."

What are you expecting to "get done" on a discussion board? The next discussion?

[Exilednight]

12. If this discussion board was used to its potential, then ...........

we would be organizing about how to get messages out. Which leaders to contact, which issues need attention, etc, etc, etc...........

But instead, we are stuck with a cheerleading squad that puts down anyone who attempts to belittle those that point out legitimate criticisms of the president and argues that everything is going "according to plan".

[ProSense]

13. Hmmm?

There is an activism forum, ever used it?

You're throwing around labels like "cheerleading squad" and are accusing people of attempts to belittle others?

You entered this thread simply to make a stink, you've succeeded.

[OhioBlue]

14. getting a message out includes

highlighting policies that worked. Especially when the RW lunatics and tea party were peeing their pants over them. This isn't a football game, it is politics. And in politics, the RW is much better at framing the discussion, giving talking points and propaganda. Posts like this are important, they help other ACTIVISTS by giving them good news and good talking points. This post is what we need more of on DU.

Personally, I appreciate very much the posts that ProSense contributes. I find them much more helpful and encouraging as an activist than many others.

[Exilednight]

15. You seriously believe this? .............

I mean, seriously?

You don't need a talking point for an argument you already won.

This isn't about politics, it's about governing. Politics is what you do when running for office, once you get into office it's time to govern.

[ProSense]

16. "This isn't about politics, it's about governing. "

Exactly, who the hell here is governing?

Appears you need to check where you are, this isn't a political office.

[Exilednight]

18. Exactly, who the hell here is governing? That's the question I've been asking .................

since Obama took office.

[ProSense]

20. Are you going to pretend that "here" meant on the board to

further an argument that has nothing to do with reality?

[Exilednight]

22. It's a government by the people, for the people, and by the people ...............

and last time I checked, we are the people.

[OhioBlue]

28. I'm not sure I understand your post.

I'm not an elected official. I'm a mom, I have a full time job, I grow a garden and in my spare time I volunteer for political campaigns. I also talk politics with family and friends. I've registered voters, knocked on doors, made phone calls, etc. And hell yes, talking points help.

Points like this are important when your brother in law asks, well, what have the Dems done to help the economy? Since I usually have so many other things on my mind, I don't pay attention like I should. An article like this on DU is helpful to me - it puts a success in my mind, I can discuss it at the picnic table. Some of the people may feel better about their vote for Obama, some might feel like voting for our Dem Congressman in November. If all they hear is the negative, they might not.

And, when I get ready to start knocking on doors and making calls again in a month or so, I'll have plenty of talking points ready. That is how you do it.

[ProSense]

17. Thank you.

I think some people fear good news because it interferes with the doom and gloom. They hate, no they abhor seeing anything positive. It's ridiculous to claim that highlighting the good things that have been done prevents anyone from advocating for more.

[dionysus]

31. here we go with that "cheerleading" yak shit again. the fact is, you can't stand anything positive

being said about the man. it's obvious.

[treestar]

23. Negative people don't like that

Nothing is ever enough and they don't like the increase in optimism and confidence that stopping for a minute to high five and backslap gives. It makes it too dangerous that there will be more successes in the future and a resulting decrease in negativity. Then getting people to dwell on the negative can be downright hard!

[Hansel]

25. I think a large number of the population need counseling to get over

the stress caused by the Bush administrations exploitation of 9/11. The psych ops were very effective and many people have not unwound from them. And of course, the Bush strategy to redistribute wealth from the many to the few, also makes it harder to get back up.

But there are too many who are looking for perfect, which will always be elusive, and they won't settle for less. This is a defense strategy that enables them to never again be taken by surprised by horrors like 9/11 and this nation's disastrous lack of defense against it, and by disasters like the Bush administration policies that have finally come to full bloom.

This country would have been so much better off if Bush during 9/11 had told the Americans that this country does not cower in the face of our enemies. If he had told us to stand tall and stay off of our knees. Instead Bush and Cheney might as well have shouted, "Cower, cower, cowards! Drop to your knees" at the top of their lungs from the World Trade Center's ashes. Because that is exactly how we were told to act.

It's long time past for Obama to tell people to stand tall and stop cowering. Stop acting defeated over every little thing. Get up, fight. That should have been in his inauguration speech. He still needs to say it.

[treestar]

26. Obama did say exactly that, in his inaugural address

That we should not abandon our ideals in the fight against terror.

Political issues are different - it's not a matter of battle. Too many see it in that metaphor.

But there is a degree of relief that Bush is gone and people leaving it at that and not getting involved any more. the Right wing with its usual zeal tries to take advantage of that.

[Exilednight]

27. Let me know when Obama starts "fighting terror". That might actually be something to get ..........

excited about.

[Hansel]

24. Yes, because the way to get your policies enacted is to hide

the successes of ones that have already been enacted. Especially successes that are the result of policies you took political heat from your opponents and the media for enacting.

If he wants to be able to get more legislation enacted that will further successes, then he HAS TO counteract the claims the Republicans are making that it is not working and just added to our deficit. And he has to hold on to Democratic seats by telling the public their legislation works.

The better sports analogy would be if the coach sent in a play that everyone said would not work and everyone mocked him for sending in. Then it worked. But instead of the team celebrating, they resist running any more plays the coach sends in because everyone criticizes their coach no matter what the hell he does, thus no one acknowledges the play works and the sports announcers criticize the coach and pretend it was actually luck and something the prior coach was responsible for. And 1/2 the stadium boos.

[Kurovski]

8. Kick. (nt)

[Hekate]

11. Kick. TY for bringing this to the fore

:hi:

[Honeycombe8]

19. GM seems to have turned itself around. It's actually making cars that I'm considering buying!

That is new. It's still in a delicate position, I guess.

But we have to manufacture SOMETHING in our country. We can't be just a nation of consumers, totally dependent on other countries to make everything we need.

And all those middle class workers out of work....if we think the unemployment rate and the suffering is bad now, I can't imagine how bad it would've been if GM had totally failed.

Although, I must say....if GM had filed for BR, it wouldn't definitely have gone under. It went through BR with taxpayer funds and came out on top, so I guess a similar thing would've happened if GM hadn't had taxpayer funds, just not to such an extent.

I don't know. I'm no expert. As for Chrysler, I disapproved. Chrysler has shown itself not to be a good manufacturer, repeatedly. And I think it IS defunct, now, isn't it? But GM....I perceived it was ready to make extreme changes to meet changing demands of a new world. And I think it is doing that. I'm proud of the company for admitting its past mistakes.

I'll be buying a car in the next year or two. For the first times in decades, the American manufacturers actually have some cars that meet my needs and which I will consider buying.

[JoePhilly]

21. Did you hear all those Union employees booing him during that speach ...

What no??

But But But ... Obama hates the Unions ... I heard it right hear on DU!!!

:rofl:

[TheKentuckian]

29. This is certainly one of the good things (though I am angry about the hardball with the auto

and unions while Wall Street was allowed to wallow in their ill gotten gains and auto companies were allowed to off shore some operations desperately need here), I was for it and I'm glad that it was done despite not liking how some things were handled.

It is a win for America to maintain whatever manufacturing base we can.

It was not the move I'd want to exactly see but it was surely in the right direction and that is appreciated.

[Arkana]

30. The auto bailout was most definitely warranted and it ended up working out.

Not that I'd like to do it again, but it worked.