GM "Success"...Read on...

"The heart of the case against the bailout is that it saps the life-blood of entrepreneurial capitalism."

 - Don Boudreaux, George Mason University economist

I've had this in my "TO BLOG" pile for ten days...but the holidays are upon us...I'm too busy having fun!!  I hope you are too. Despite our country's woes, it's okay to be happy. You are not a bad person if you are finding daily happiness. Sometimes I think our government thinks happy people are bad people...but that's not the case - we are just happy!

But back to my point...

This article by The Heritage Foundation is eye-opening and important for anyone who sincerely believes the GM bailout was a "success".  It's a quick read, but it will clarify what happened, and what would need to happen for taxpayers to get a return in full...even though it's not completely about getting a return on our investment (as my initial quote suggests). 

Direct quote...this is where we are on the money:

"Before this week, taxpayers put a net $40 billion into GM and held a majority stake in the company. The IPO allowed the Treasury to sell about a quarter of their share at $33 per share, raising $13.6 billion. That leaves taxpayers, post-IPO, with $35.9 billion “invested” and about a 37 percent stake in the company. At $33 per share, that leaves taxpayers still almost $10 billion in the hole. The shares would have to jump to $51 for taxpayers to break even, a price level considered by most analysts to be unlikely."

Direct quote...this is why bailouts are not the answer:

But perhaps the biggest danger of all is the prospect of the GM “success” being used to justify future bailouts of other firms. That would be the true catastrophe. As George Mason University economist Don Boudreaux wrote:

The chief economic case against the bailout was not that huge infusions of taxpayer funds and special exemptions from bankruptcy rules could not make G.M. and Chrysler profitable. Of course they could. Instead, the heart of the case against the bailout is that it saps the life-blood of entrepreneurial capitalism. The bailout reinforces the debilitating precedent of protecting firms deemed “too big to fail.” Capital and other resources are thus kept glued by politics to familiar lines of production, thus impeding entrepreneurial initiative that would have otherwise redeployed these resources into newer, more-dynamic, and more productive industries. The “success” of the bailout is all too easy to engineer and to see. The cost of the bailout—the industries, the jobs, and the outputs that are never created—is impossible to see, but nevertheless real.

Source: Morning Bell: Our Economy Can't Afford More GM "Success" Stories, James Gattuso

More on Pat-Downs...

"Ultimately, though, the debate over whether to use the new scanners or not isn't a choice between privacy and sercurity - because we're not getting security where we need it - we're reacting to the last type of terrorist threat, not the current one or the next one."

 - KT McFarland, Fox News 11.17.10

A GREAT follow-up to my blog post from earlier in the week...I LOVE this article...

Forget Body Scans and Pat Downs -- Let's Get Busy Profiling, Fox News 11.17.10

Al Qaeda is not stupid and they are not going to give up simply because their last attempt was thwarted. And they're smart enough to find a new way. Our task is to discover these new ways. 

And terrorists DO have a profile...why do we not use that as a way to combat their attempts?  Let's not force small children, pregnant women and 99% of other travelers to be violated via invasive pictures or physical pat-downs. 

Let's play some offense for a change...this reactionary stuff is making me crazy!  And with all the backlash and public outcry...I wonder how long it will be before these x-ray machines are scrapped...anyone want to make any guesses?????

Airport Security...gone too far?

"At the end of the day we're not the threat, and we want the TSA to concentrate on getting bad guys."

 - Capt. Sam Mayer (a Boeing 767 captain and spokesman for the Allied Pilots Association)

I was on a recent trip to the east coast and after seeing this article from The Washington Post today I thought I should share my story.

Here is the article: Scanners and Pat-Downs Upset Airline Passengers, 11.15.2010

You be the judge: Is airport screening gone too far? Is it really going to thwart terrorist attacks? 

My return flight home from the Baltimore airport brought me face to face with the x-ray machine, which has been getting a lot of attention in the press lately. I am currently pregnant and had decided well beforehand I would refuse to be screened through an x-ray machine. And sure enough, the opportunity for declining just such a screening came. Not for any reason, mind you. I didn't beep through the regular machine, nor did my bags contain anything that required a second glance. They were merely shuffling a few passengers through the regular security thingy, and then a few through the x-ray thingy.  I was one that had to go through the x-ray thingy.

I declined.
They asked me why?
I said because I was pregnant (I AM pregnant...this was not a lie, and I am noticeably pregnant).
I was not interested in exposing my fetus to unnecessary radiation.
The TSA agent assured me the machine does not emit a dangerous amount of radiation (and I should trust you because???)
I still said no.
They threatened a full-body pat-down.
I said I still wasn't going through.
So then I prepared for my pat-down.

And I'm NOT kidding when I say it was pretty invasive. They offered me a private room, which I declined, being in a hurry. She politely described the security measures are more invasive now and she shared that she would be feeling all the way up my inner thigh and around my breasts. I rolled my eyes...this was going to be interesting.

And so it commenced. It was exactly as she said. She touched every part of my backside. And as promised, all the way up my inner thighs. She felt around my chest...wow...I was surprised by that. My eyebrows were definitely raised. I think I was blushing...one word: awkward.

After it was over she tested my hands with a special wand with a piece of fabric on the end. I assume this was to check for firearm residue. That was painless...

Let's just say, the TSA screener got well beyond second base and I had no defense mechanism if I wanted to get on that plane and come home. I hate the feeling of not having a choice.

From this article in The Seattle Times yesterday, this sums up my thoughts: "In many cases, if you don't catch these issues well in advance of the airport, it's too late."(Vahid Motevalli, co-founder of the Aviation Institue at George Washington University and now a professor at Purdue University).

I'm just grateful we are staying close to home at the holidays...we won't be traveling for a while and my modesty needs some time to recover.

Message Received!

"With their voices, the American people are demanding a new way forward in Washington."

 - House Minority Leader, John Boehner

It was a success at the polls, as far as I'm concerned. Republicans taking over the House is a huge game-changing play in Washington...and it's because the people made their voices and opinions heard. 

This election is our message to Pelosi and other House members who:

(1) Rammed Obamacare down our throats,

(2) Continued to pass Stimulus packages that are having no impact on the economy, and

(3) Have grown the government and in turn our national debt to the brink of bankruptcy

And I just love how our President has been saying in recent days that should Republicans take the House, they better compromise!  Well, that's interesting, since he wasn't too interested in what Republicans had to say during the closed-door Obamacare meetings earlier this year. I hope the Republicans don't compromise. Stick to your guns, stick to your promises. It's time to make a stand.

The message to Obama and his administration is clear...we don't like what you've done, and it's time to chart a different course!

AND here in Washington state....

I'm elated on the defeat of I-1098 (the income tax initiative).

I'm elated on the passage of I-1107 (ending the candy/soda tax)

I'm elated on the passage of I-1053 (requiring 2/3 legislative majority for tax increases)

It's obvious the people, even the liberal people here in Washington, are conscious of the economy. They know Washingtonians need less taxes and more prudent spending in this State. And Governor Gregoire was doing a bit of complaining last night saying she will have to make some serious cuts. I would like to remind our Governor that IT IS YOUR JOB!  Now is the time to make the tough decisions and earn your keep...otherwise, you'll be out!

I'm off to Washington D.C. (for a personal matter), but I will probably feel a bit euphoric walking near the Capital knowing MY voice has made a difference. I hope you feel the same about yours.