Obamateurism of the Day

posted at 8:01 am on August 13, 2012 by Ed Morrissey

For today’s OOTD, I’m turning the reins over to one of our terrific Green Room contributors.  Steve Eggleston of No Runny Eggs relates Barack Obama’s campaign message that we should intervene in every industry like we did with automakers:

If Ed weren’t recovering from back surgery, I’m positive this would have been today’s Obamateurism of the Day. I have to credit Ace for digging up this little gem from a speech President Obama in Pueblo, Colorado yesterday:

We’ve got a bunch of examples of the differences, the choice in this election. When the American auto industry was on the brink of collapse, more than 1 million jobs at stake, Governor Romney said, let’s “let Detroit go bankrupt.”

I said I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back and GM is number one again. So now I want to do the same thing with manufacturing jobs not just in the auto industry, but in every industry. I don’t want those jobs taking root in places like China. I want them taking root in places like Pueblo.

Let’s review what, exactly, Obama (and to be fair, President Bush as a lame duck and enabler) did to the auto industry:

  • Expended $43.2 billion (not including a $6.7 billion “flash money” “loan” from otherwise unused DIP financing used to create a credit-worthy Government Motors out of whole cloth) to seize control of the largest auto maker, General Motors. Of that $43.2 billion, only $16.8 billion has made its way back to the Treasury, with another $10.3 billion in stock the government still holds in GM (as of the close of the markets yesterday). That puts the projected loss on the GM deal at $16.1 billion, while the UAW VEBA (retiree health-care fund) has already recovered more than what it was owed pre-bankruptcy and stands to get close to $30 billion on the $20.6 billion it was owed before all is said and done.
  • Expended $12.8 billion to seize the third-largest auto maker, Chrysler, hand initial majority control to the UAW, and facilitate the transfer of ultimate control to a foreign entity, Fiat. Of that $12.8 billion, $8.2 billion was ultimately recovered from former owner Cerebus and Fiat, putting the final loss at $4.6 billion.

What, exactly, did we get for that $30 billion, besides a government-run company whose recent success is due more to its controlling owner upping its fleet purchases than anything else and an Italian-union collaboration? Did you think it would be an increase in jobs? You would be mistaken if you thought that.

The Quarterly Census of Employment and Wages, widely considered the most-accurate measure of jobs as it is a census that includes every job provided by a private employer subject to the unemployment tax, has as one of its industry subgroups “automobile and light truck manufacturing” (NAICS 33661 in bureaucrat-speak). In December 2007, when the “Great Recession” started (at least according to the economists charged by the government with defining recessions), there were 187,219 people employed in the industry. In December 2008, when Bush decided to bail out GM and Chrysler, employment dropped to 155,504. In December 2009, after Obama turned them into Government Motors and UAW Motors, employment dropped to 131,525. There was little change in December 2010, but employment did bottom out at 131,020. There was a bit of a recovery by December 2011 (the last month QCEW data is currently available) as employment rose to 142,532.

To recap – we spent $20-30 billion (depending on whether one thinks we’ll get even $20.65 per share once/if Treasury decides to let GM go), sold the smallest of the Big Three to the Italians, and, 3 years after the bailout started and 2 1/2 years after the economy “recovered”, had 13,000 fewer people employed in the automotive industry. I’ll let Jim Hanson have the last word on the Crony Capitalist Socialist in Chief:

As far as including this in the OOTD canon, better late than never!


It’s time once again to show our support for Day By Day and its artist-publisher, Chris Muir.  Chris holds an annual fundraiser to keep the adventures of Sam, Zed, Jan, and Damon coming.  Chris, whose artwork has enhanced the OOTD feature since its inception for Hot Air readers, uses the funds raised for only the continuance of DBD.  As always, the fundraiser has many fabulous gifts available at whatever level one chooses to donate.  If you’re thinking about donating at the Jan/Damon level or above, you’ll get a Last Supper Red vs Blue magnet, which has depictions of personalities from New Media — myself included.  Donating at the Anatoly Level will get you a 9×15 print of the artwork.  Dig deep and be part of supporting the one of the best New Media cartoonists in the biz!

Got an Obamateurism of the Day? If you see a foul-up by Barack Obama, e-mail it to me at obamaisms@edmorrissey.com with the quote and the link to the Obamateurism. I’ll post the best Obamateurisms on a daily basis, depending on how many I receive. Include a link to your blog, and I’ll give some link love as well. And unlike Slate, I promise to end the feature when Barack Obama leaves office.

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Obama is a loser. His likability that is touted is a foreign concept for me. He is a petty man with a superiority complex.

TXMomof3 on August 13, 2012 at 8:06 AM

Obama want’s to be…
Bain Capitol..
With us as the investors..

Electrongod on August 13, 2012 at 8:10 AM

Did you think it would be an increase in jobs? You would be mistaken if you thought that.

The auto bailout was all about saving the UAW pensions. There never was any real intent to create jobs.

Happy Nomad on August 13, 2012 at 8:10 AM

Please keep your filthy, stinking hands off my business, Mr President! Thanks, but no thanks.

JimK on August 13, 2012 at 8:11 AM

the “help” the GM was offered is advertised as altruism on the part of the federal government. That’s merely papering over the fact that it was a socialist means of controlling the industry to build cars that the ideology favors while avoiding those that it does not. If GM were to build cars that it wants to build, we’d still have cars with big blocks running around. natch, we don’t.
2c

ted c on August 13, 2012 at 8:12 AM

The Delphi employees would like to have a word with TFGRP.

Bishop on August 13, 2012 at 8:13 AM

Low-information voter:

“Wow! Thanks, Barack, for saving GM! I’ll bet Romney has, like, Italian cars, in his elevator garage, and Ryan will use one of them to run over my Grandma!!!11!!”

KS Rex on August 13, 2012 at 8:13 AM

If GM were to build cars that it wants to build, we’d still have cars with big blocks running around. natch, we don’t.
2c

ted c on August 13, 2012 at 8:12 AM

Now you’re going to make me cry.

Bishop on August 13, 2012 at 8:14 AM

The usual:

Obama Schedule || Monday, August 13, 2012

by Keith Koffler on August 12, 2012, 9:20 pm

9:40 am || Departs Chicago
10:55 am || Arrives Omaha, Nebraska
11:25 am || Delivers remarks at a campaign event; Bayliss Park, Council Bluffs, Iowa
5:15 pm || Delivers remarks at a campaign event; Herman Park, Boone, Iowa

Cody1991 on August 13, 2012 at 8:16 AM

….now the American auto industry has come roaring back…

Based on the latest numbers, I do believe the definition of “roaring back”, as far as the American auto industry goes, is putt-putt-putt.

pilamaye on August 13, 2012 at 8:16 AM

I can’t think of a single thing Obama has meddled in that has been successful (my concept of success might be outdated–it means not screwing up something important to our United States).

Liam on August 13, 2012 at 8:16 AM

You want credit for something YOU built, Mr. marxist maniac? You own it.

How despicable to stand in front of the American people and claim you’ve done something good for industry.

Your true colors have been and are showing on this one, sport.

VietVet_Dave on August 13, 2012 at 8:16 AM

The auto bailout was all about saving the UAW pensions. There never was any real intent to create jobs.

Happy Nomad on August 13, 2012 at 8:10 AM

Precisely, though in this case, it was all about saving the UAW retirees’ health plan so they don’t have to go onto PlaceboCare.

Steve Eggleston on August 13, 2012 at 8:18 AM

Now you’re going to make me cry.

Bishop on August 13, 2012 at 8:14 AM

it’s true. GM was like the girl that needed a ride home and BHO rode in like the perv in the Lincoln saying, “What’s a ride home worth to you?” Well, GM gave it all up and there ain’t no gettin’ it back, IYKWIMAITYD.

ted c on August 13, 2012 at 8:22 AM

it’s true. GM was like the girl that needed a ride home and BHO rode in like the perv in the Lincoln saying, “What’s a ride home worth to you?” Well, GM gave it all up and there ain’t no gettin’ it back, IYKWIMAITYD.

ted c on August 13, 2012 at 8:22 AM

On the other hand, GM is the reason we’re saddled with catalytic converters.

Steve Eggleston on August 13, 2012 at 8:24 AM

Do you think, Steve? maybe the EPA?

ted c on August 13, 2012 at 8:27 AM

The first widespread introduction of catalytic converters was in the United States market, where 1975 model year gasoline-powered automobiles were so equipped to comply with tightening U.S. Environmental Protection Agency regulations on automobile exhaust emissions.[2][3][4][5] These were “two-way” converters which combined carbon monoxide (CO) and unburned hydrocarbons (HC) to produce carbon dioxide (CO2) and water (H2O). Two-way catalytic converters of this type are now considered obsolete, having been supplanted except on lean burn engines[citation needed] by “three-way” converters which also reduce oxides of nitrogen (NOx).[2]

Catalytic converters are still most commonly used in exhaust systems in automobiles, but are also used on generator sets, forklifts, mining equipment, trucks, buses, locomotives, motorcycles, airplanes and other engine fitted devices. They are also used on some wood stoves to control emissions.[6] This is usually in response to government regulation, either through direct environmental regulation or through health and safety regulations.

ted c on August 13, 2012 at 8:28 AM

“I want to do for all US Industry what I did for Detroit.”

1)make it harder on the few businesses in a field that do not get the pork cannon through “Crony Socialism” ala ford

2)do an end around bankruptcy procedure screwing creditors and onvestors whose stick and bonds gave them first dibs at liquidation

3) have a 42 billion dollar sinkhole that is still at 30 billion bucks, forcing the Feds to fall prey to temptation to game acquisition of goods for Federal use to less efficient contract bids

4) sell off control to foreign companies and a plurality of stock control to your union buddies.

Yeah Champ we definitely need some more of that old time religion of defacto nationalization……

at what point do we get to use the word “fascist”?

harlekwin15 on August 13, 2012 at 8:29 AM

His likability that is touted is a foreign concept for me. He is a petty man with a superiority complex.

TXMomof3 on August 13, 2012 at 8:06 AM

Petty to the core. Shamelessly deceitful and conniving, too.

petefrt on August 13, 2012 at 8:31 AM

Precisely, though in this case, it was all about saving the UAW retirees’ health plan so they don’t have to go onto PlaceboCare.

Steve Eggleston on August 13, 2012 at 8:18 AM

The UAW screwed over management and the entire nonunion force that was in the feeder plants that they had thrown under the bus in 1978-1984 as well….

Delphi worker is NOT happy and hey he is a force in Ohio.

harlekwin15 on August 13, 2012 at 8:31 AM

ted c on August 13, 2012 at 8:22 AM

You mentioned big blocks.

*sniffle*

Bishop on August 13, 2012 at 8:32 AM

*shudder*

Another 4 years of heartache

cmsinaz on August 13, 2012 at 8:33 AM

it’s true. GM was like the girl that needed a ride home and BHO rode in like the perv in the Lincoln saying, “What’s a ride home worth to you?” Well, GM gave it all up and there ain’t no gettin’ it back, IYKWIMAITYD.

ted c on August 13, 2012 at 8:22 AM

With Obama it’s more like the GUY who needed a ride home…..

50sGuy on August 13, 2012 at 8:33 AM

This is what American cars are supposed to sound like. Volume required.

ted c on August 13, 2012 at 8:34 AM

ted c on August 13, 2012 at 8:28 AM

That 2-way catalytic converter was a GM invention, so they got a taste from every single one installed.

When Honda figured out a way to meet the Model Year 1975 requirements without a catalytic converter, GM got the EPA to change it to require a new three-way catalytic converter.

Steve Eggleston on August 13, 2012 at 8:34 AM

there’s a lil’ dope in that youtube link Bishop.

ted c on August 13, 2012 at 8:35 AM

either way, steve, the CC was in response to changing EPA regulations on emissions. The gov’t wasn’t going to tell them how or what to build, they were just going to give them the regulations and force them to comply. The CC was their response.

ted c on August 13, 2012 at 8:37 AM

Governor Romney said, let’s “let Detroit go bankrupt.”

GM and Chrysler did go through bankruptcy. The difference was that Romney wanted them to go through it the legal way — the way where bondholders and non-union employees were not unfairly (and illegally) screwed over, and the UAW didn’t get to avoid making any wage or pension concessions whatsoever, and as a bonus were handed billions of dollars worth of stock in the company (courtesy of U.S. taxpayers).

If we’d done it Romney’s way (i.e., the legal way), the UAW would have had to make substantial concessions, and GM and Chrysler would have emerged from bankruptcy leaner and more competitive than they are now. As it stands, GM will undoubtedly be back before another bankruptcy judge in a few years, and U.S. taxpayers will have been screwed out of tens of billions of dollars, thanks to Obama’s idiotic mismanagement and blatant illegality. And just think, Obama wants to do the same to every American industry!

AZCoyote on August 13, 2012 at 8:37 AM

His likability that is touted is a foreign concept for me. He is a petty man with a superiority complex.

TXMomof3 on August 13, 2012 at 8:06 AM

.
Petty to the core. Shamelessly deceitful and conniving, too.

petefrt on August 13, 2012 at 8:31 AM

.
Dittos to both of you.

listens2glenn on August 13, 2012 at 8:41 AM

AZCoyote on August 13, 2012 at 8:37 AM

Obama essentially took failing businesses and picked winners (the UAW) and losers (the American taxpayer). He forced dealerships to close and a no time offered any legitimate reason the government was involved to the extent that it was other than to bail out the unions. All the talk about saving jobs was BS.

Happy Nomad on August 13, 2012 at 8:44 AM

AZCoyote on August 13, 2012 at 8:37 AM

Chrysler will be there first.

Steve Eggleston on August 13, 2012 at 8:49 AM

I just don’t know if we can overcome the MSM and libtards, a.k.a. “low info” voter. The 15 minute interview on 60 Mins showed us we have 2 people who 1) have plans 2) are sincere 3) congenial/likeable and 4) have records of success and 5)have American values at their core. They are up against King Bozo who has a track record of unrelenting failure and the polls show the clown still has a chance.

*Face meets palm*

hillsoftx on August 13, 2012 at 8:51 AM

GM is an utter mess. What do they have now? 40-50 separate models under different brand names?

Leaving aside the utterly immoral government-union theft-bailout, there’s no way that they will have a viable business with dozens of models of cars.

Romney and others were right. Its best hope was bankruptcy and freedom from the UAW. That is, if you do not believe in Socialist Utopianism.

CorporatePiggy on August 13, 2012 at 8:59 AM

Good. Ed linked to Uncle Jimbo.

Sir Napsalot on August 13, 2012 at 8:59 AM

Prezzy My Plan Worked just loves to get people to willingly suspend disbelief. What the govt did ‘for’ GM in order to ‘save’ jobs was so totally illegal. He put our good faith and credit at risk in the world, wiped out management pension funds, destroyed local business involved with closed dealerships and now goes out to brag about ‘saving Detroit’. How is it that his popularity is still above 40? People must love being lied to.

Kissmygrits on August 13, 2012 at 9:22 AM

When Mitt becomes president, one of the first things he should do is remove the UAW from ownership…it was given to them, it can be taken away.

Do what Reagan did, show the unions who is “boss”…dismantle all Gov. unions.

right2bright on August 13, 2012 at 9:23 AM

AZCoyote on August 13, 2012 at 8:37 AM

Obama essentially took failing businesses and picked winners (the UAW) and losers (the American taxpayer). He forced dealerships to close and a no time offered any legitimate reason the government was involved to the extent that it was other than to bail out the unions. All the talk about saving jobs was BS.

Happy Nomad on August 13, 2012 at 8:44 AM

…now can you both talk to the government media…and tell them to inform the low info voter! I loathe the MSM! OBaloney would be ashamed to declare what he does if the media did it’s job!

KOOLAID2 on August 13, 2012 at 9:28 AM

There’s a whole lot more good reading on this from Seton Motley over at Breitbart. A few of the things I left out:

- The $45 billion carry-over of pre-bankruptcy losses that should not have been allowed to be carried over, which resulted in a 2011 corporate tax liability of $0.00.
- An unspecified donation to the $24 million ($10.4 million directly from the taxpayers) Pecan Street Inc. in Austin, Texas, more-aptly named Volt-ville.
- The 2011 sponsorship of a Red Chinese film celebrating the 90th anniversary of the Chinese Communist Party.

Steve Eggleston on August 13, 2012 at 9:58 AM

When Mitt becomes president, one of the first things he should do is remove the UAW from ownership…it was given to them, it can be taken away.

right2bright on August 13, 2012 at 9:23 AM

Wish it were as easy as that. There’s only 2 ways to make that happen – a RICO conviction against the UAW or another bankruptcy proceeding.

Steve Eggleston on August 13, 2012 at 10:03 AM

Forget the catylitic converters, the problem is the man who stole GM and is converting the nation from a free republic, governed by the people, into a socialist failure…with perpetual hope and change that is always away from individual freedom.

Don L on August 13, 2012 at 10:30 AM

Carrying over something that I remembered only after I hit “publish” on the Greenroom version of this:

One addendum (as this got plucked into the queue before I remembered this item) – Rasmussen found that 55% of likely voters disapprove of government investing in private companies, with only 27% saying it was alright for government to do so.

Steve Eggleston on August 10, 2012 at 12:07 PM

Steve Eggleston on August 13, 2012 at 10:41 AM

Why isn’t the Obama Admin.’s responsiblilty for allowing control of Chrysler to Fiat a big huge ad???

Wish it were as easy as that. There’s only 2 ways to make that happen – a RICO conviction against the UAW or another bankruptcy proceeding. Steve Eggleston on August 13, 2012 at 10:03 AM

Does this mean Obama would be considered a co-conspirator?

hopeful on August 13, 2012 at 11:07 AM

Why isn’t the Obama Admin.’s responsiblilty for allowing control of Chrysler to Fiat a big huge ad???

Does this mean Obama would be considered a co-conspirator?

hopeful on August 13, 2012 at 11:07 AM

Probably because (a) Fiat control of Chrysler in the wake of a non-government-sponsored bankruptcy would have been in the realm of possibility and (b) Fiat did pay a few billion dollars to get said control. Would that amount been higher without the interim government seizure? I can’t answer that.

As for whether Obama could be considered a co-conspirator in a RICO case, if soverign immunity weren’t an issue, I daresay that he and his automotive task force would be principal targets.

Steve Eggleston on August 13, 2012 at 11:26 AM

As for whether Obama could be considered a co-conspirator in a RICO case, if soverign immunity weren’t an issue, I daresay that he and his automotive task force would be principal targets.

Steve Eggleston on August 13, 2012 at 11:26 AM

Ah ha! So that would make him an unindicted co-conspirator? Now that would make a good ad. Hey if Priorites can all but call Romney a murderer, this ad would at least be based in fact.

hopeful on August 13, 2012 at 12:17 PM

This is the essence of what Obama means by “community organizing”: what you own, you no longer own because Obama’s organized a community to take what you own away from you.”

Obama’s going to have a lonely time after he’s sent home this January 2013, trying to manipulate his street in Chicago to service his desires.

Lourdes on August 13, 2012 at 12:59 PM