GM Files for Bankruptcy Protection; The Latest From Schiff

It comes as no surprise to anyone who has been following the auto industry news, that GM will be filing for bankruptcy this week and their first action was filing for bankruptcy protection this morning. 

On Friday, GM’s stock was well below the $1 mark and continued to fall throughout the day. 

The bankruptcy filing, made in the U.S. Bankruptcy Court in Manhattan, marks the climax of a lengthy debate over the auto maker’s future after it sought a bailout from the U.S. government in December to stay alive. In the end, GM couldn’t complete its restructuring out of court and filed for bankruptcy-court protection to get billions more in aid from U.S. taxpayers.

The question now facing 56,000 auto workers, 3,600 GM dealers and the Obama administration: Will it work?

The U.S. government has agreed to provide GM with another $30 billion in aid, in addition to the $20 billion the auto maker has already borrowed, to see it through its restructuring and exit from bankruptcy protection. In return, the government will get a controlling stake in the company. The Canadian and Ontario governments are putting in $9.5 billion for a 12.5% stake.

I thought that Obama didn’t want to be in the car business?  It seems like the government is becoming fascist, as Thomas Sowell recently noted: 

We’re not a socialist country, because the socialists believe in government ownership in the means of production, but the fascists believe that the government should have private ownership and the politicians should tell people how to run the businesses. So that’s the route we seem to be going.

I’m sorry, but this really is getting insane and it only proves the most recent article coming out of the Russian Pravda paper, no less, entitled, “American Capitalism Gone With a Whimper.”

It must be said, that like the breaking of a great dam, the American decent into Marxism is happening with breath taking speed, against the back drop of a passive, hapless sheeple, excuse me dear reader, I meant people.

True, the situation has been well prepared on and off for the past century, especially the past twenty years. The initial testing grounds was conducted upon our Holy Russia and a bloody test it was. But we Russians would not just roll over and give up our freedoms and our souls, no matter how much money Wall Street poured into the fists of the Marxists.

Those lessons were taken and used to properly prepare the American populace for the surrender of their freedoms and souls, to the whims of their elites and betters.

First, the population was dumbed down through a politicized and substandard education system based on pop culture, rather then the classics. Americans know more about their favorite TV dramas then the drama in DC that directly affects their lives. They care more for their “right” to choke down a McDonalds burger or a BurgerKing burger than for their constitutional rights. Then they turn around and lecture us about our rights and about our “democracy”. Pride blind the foolish.

Then their faith in God was destroyed, until their churches, all tens of thousands of different “branches and denominations” were for the most part little more then Sunday circuses and their televangelists and top protestant mega preachers were more then happy to sell out their souls and flocks to be on the “winning” side of one pseudo Marxist politician or another. Their flocks may complain, but when explained that they would be on the “winning” side, their flocks were ever so quick to reject Christ in hopes for earthly power. Even our Holy Orthodox churches are scandalously liberalized in America.

The final collapse has come with the election of Barack Obama. His speed in the past three months has been truly impressive. His spending and money printing has been a record setting, not just in America’s short history but in the world. If this keeps up for more then another year, and there is no sign that it will not, America at best will resemble the Wiemar Republic and at worst Zimbabwe.

These past two weeks have been the most breath taking of all. First came the announcement of a planned redesign of the American Byzantine tax system, by the very thieves who used it to bankroll their thefts, loses and swindles of hundreds of billions of dollars. These make our Russian oligarchs look little more then ordinary street thugs, in comparison. Yes, the Americans have beat our own thieves in the shear volumes. Should we congratulate them?

The government has never been able to run any type of business well, mainly due to the fact that the majority of politicians have never worked in the business world, they are either lawyers or just came straight out of college with a BS in political science – and BS is extremely apropos.  The government tried running Amtrak and how well did that go?  The government tried running the Mustang Ranch, and couldn’t manage to make a profit from sex of all things! 

Obama wants control of the auto industry because of his voting bloc, the unions (namely the UAW), who contributed over $400M to his campaign and so he can pass his green agenda via vehicles.  We can all drive around some solar powered tin cans that need to be recharged every 40 miles and get nowhere!

Peter Schiff also had an interesting take on where our economy is headed and some final words regarding GM that he posted on youtube, Friday: 

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