One in two people in Detroit are illiterate. There’s no better example of one-party Democratic rule and its ultimate end result than Detroit, Michigan. To get an idea about how terrible the literacy rate is just consider that the functional literacy rate in Kenya, Egypt, Iran, and India are all higher than Detroit.
At the end of the new taxpayer funded Chrysler Super Bowl commercial economist Eminem looks at the camera and says, “This is the Motor City and this is what we do.” I’m confused. Is what they do running a city into the ground or running the automobile industry into the ground?
The auto bailout cost $800 per American taxpaying family. How’s that for stimulus? What would have been better for the American people: giving each family $800 to spend or by giving it to failing auto companies? There’s a new paper by Thomas Hopkins that analyzes the real costs of Auto subsidies.
Every new vehicle sold by GM and Chrysler now is accompanied by a substantial taxpayer subsidy, with little credible evidence that either firm will survive for long, barring further assistance in the future. If survival is only to the end of 2010, the taxpayer bailout burden could amount to some $10,700 per 2009-10 vehicle sold.
The faster these companies die the better. Right now the government is holding up these failures at an enormous cost. It really is amazing how much the government is throwing around these days. Americans are upset about the present course, but they’re not nearly angry enough.
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