The Peterbilt Principle

From Gross Mismanagement to Government Mismanagement

One of the best aspects of America in my opinion is the fact that we are a nation of dreamers. Every day, men and women wake up, brush their teeth, and work a little on their little piece of the American Dream. Recently, those same people woke up as they usually do, but there was something different.

They became part owners of General Motors, thanks to the efforts of the federal government.

Now, before you start looking for dividend checks in the mail, there are a couple of things to consider. First, with GM stock being what it is, you’d be better off looking for loose change in the couch as a means to start your lives of luxury. Second, the way this whole situation has come about should leave you worried.

I’ll be the first to admit that GM’s corporate leadership failed the company worse than a Michael Bay movie, so a change was necessary if GM wanted to stay afloat. And who came to the call? Mr. Hope and Change himself, Barack Obama! Thanks to taking some government money to try to stave off bankruptcy (only to file it a few weeks and a few million dollars later), they became the federal government’s official car company. If you’re not scared yet, consider this. The same kind of state-run bureaucracy that brought you the DMV is now going to have a hand in making the cars.

“But, Thomas, isn’t Obama going to rely on the best and brightest to run GM now?” you may ask. Well, either that or “Do you always go out in public dressed like a circus clown?” The answer to both questions is the same: only on weekends.

Actually, the answer to both questions is “no.” The best and brightest tend not to get into government service because there’s more money to be made in the private sector. You want proof? Eight words: former Senator and now Vice President Joe Biden. (And if you’re reading this, Mr. Vice President, that’s more than three letters.)

Even if you give President Obama the benefit of the doubt with the Biden example, let’s take a look at some of the particulars of the automaker bailout, with thanks to the Wall Street Journal.

Steven Rattner: He’s a former reporter for the New York Times. Oh, but don’t worry! His lack of experience with the industrial and the automotive sectors won’t hurt him because, well, he’s a reporter. [Sarcasm added.]

Ron Bloom: He advised the President of the United Steelworkers Union and he was an investment banker. Well, I guess that kinda counts because there was a time when cars were made out of steel, and you do use banks to get car loans. Actually, he does have some experience in the auto industry because he helped with the Chapter 11 bankruptcy of auto supplier Dana Corp. As good as that sounds, it doesn’t make him as qualified as a reporter. [More sarcasm added.]

Diana Farrell: She spent seven years as director of the McKinsey Global Institute and cut her teeth on studies of the impact of global energy efficiency standards. After all, when the big three automakers are seeing their companies swirling down the drain like used shampoo, they look to those who study global energy efficiency standards for guidance. [Adding so much sarcasm that it makes Dennis Miller look like Emo Phillips.]

Brian Deese: He’s barely in his 30s, but he has a world of experience in, well, working on topics for the Center for American Progress and the Center for Global Development. Oh, and he had a college radio show! I’m happy that someone with his vast experience in radio and working for George Soros is working on the automaker task force. [Turning the Sarcasm Meter up to 11 because it’s, like, one higher.]

And on top of it all, we have the new Chairman of GM, Edward E. Whitacre Jr. His prior experience? He worked for AT&T for 43 years, and he admits, “I don’t know anything about cars.” Wait. Isn’t that what got GM into trouble in the first place?

But I’m sure the government can’t screw up GM any worse than they’ve screwed up Social Security. Plus, I’m sure GM will be coming out with a cherry new ride, the Obs-mobile. It’s great on gas mileage and for the environment because it runs on hope and change, but it seems to only go in reverse. Very, very fast.

And that’s the Bottom Line.

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