$7.5 Billion Is Just the Ante

The battle lines are already forming, it's government-owned car makers versus non-government owned car makers; and the government wants you to buy from them so that 1) the life line they threw their UAW allies can be recycled into contributions that keep them in power, and 2) they get to pursue their agenda of dictating the type of cars we drive. Just as predicted, the government's resources are already going into making life hard on the companies that compete with the government (i.e. Ford) and who might take their cues from the marketplace rather than from government. This capital infusion into GMAC is the first in what will be a long running string of subsidies aimed at inducing Americans to buy undesirable "green" cars built with expensive UAW labor. Ditto, the $15 billion dollar gift that we will have ended up giving General Motors after we forgive their debt to the US taxpayer. This will make it that much harder on the non-government/UAW-allied automakers. And it is not too hard to imagine legislation coming down the pike that puts the allied car makers at an advantage. They will pull out all the stops, maybe eventually even some tawdry 'investigation' by the FTC or the DOJ into one of Ford's obscure human resources policies or something.

The only way to fight this is to avoid GM and Chrysler products like the plague and force them to become Barack Obama's very visible signature sink hole for your tax dollars.