Posted on 09/11/2008 12:45:44 PM PDT by markomalley
Detroit received some good news from Washington today. House Majority Leader Nancy Pelosi said today that she will support the $50 billion in loans that the Detroit Three have been pushing for and the U.S. Department of Energy announced that it has begun writing the rules as to how the money will be lent, the Detroit Free Press reported today.
Michigan's Congressional delegation has been pushing hard to get the loans through Congress, hoping to get a timely approval that would allow the automakers to begin borrowing money by the end of the year.
Nevertheless, there are still numerous sticking points and although the proposal picked up key endorsements today, nearly all of the details are still fluctuating. Everything from the size of the loans to how they could be spent to how they would be paid for is still up in the air. Today's announcements will let Detroit breathe at least a small sigh of relief, however. Yesterday the industry was considering scaling back its requests to the original $25 billion that was approved last year but hasn't been paid for yet.
The industry's biggest concern is the Senate, which blocked funding for the original $25 billion last year. The Senate has much more power than the House to block funding, and the loans appear to have less support there right now. Also hampering the auto industry's ambitions is election year politics. Opponents have characterized the loans as a bail-out for domestic automakers who didn't plan ahead, while record deficits and a sour economy are on the minds of voters, not to mention politicians up for re-election. A funding source for the loans still hasn't been determined and could easily become embroiled in larger budget arguments. Still, Pelosi is confident that the loans are justified and believes funding could be spread out over several bills if necessary to get it passed.
"This is very, very important to an important industry in our country," Pelosi said Tuesday. "It's about jobs, jobs, jobs."
We are headed down a path to nationalization and socialism.
***Must be nice when you can print your own money...***
I wish more people understood the consequences of increasing the money supply. The government can always print more money, but it will only devalue everyone else’s dollars and thus decrease their buying power, like a hidden tax.
Wow!
I can now see the day where the word “risk” is removed from the dictionary.
ping
Helps the carmakers but won’t help the industry that provides the fuel for those cars..............idiocy............
It would be nice to find out whether she has some of her fortune invested in that "important industry".
Almost makes me want to support a government takeover of the oil industry.
At least my tax dollars would be going to support something with a successful business model.
2008 seems to be the year of the bailout.
Guess everyone wants all the money back they gave to Washington DC.
On the other hand, Nancy doesn't think the oil industry and its jobs are important, at all. Even though they provide fuel for those automobiles.
What a silly little woman.
Could also just be pandering for Michigan votes!!
Hey Nancy - I don’t make enough for myself let alone enough to be bailing out the banks AND the automakers. Cut me some slack would yah, lol.
Pelosi’s bridge loan to nowhere.
I guess the Michigan numbers don’t look so good for Barack, so Pelosi is trying to buy him some votes before November.
i dont think its a good idea, throwing good money after bad
And they are using our money to do it!
“Could also just be pandering for Michigan votes!!”
Pander is her middle name.
Why are Chevy, Ford, and Chrysler the only manufacturers whining? Honda, Toyota, Nissan, and BMW also make cars here.
All of those humongous financial contributions to democrat politicians from the automaker labor unions are starting to generate a nice return.
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