Tag Archives: central planning


Government Motors, Central Planning Department, Division of Collusion

From Forbes Magazine

The Chevrolet Volt is beginning to look like it was manufactured by Atlas Shrugged Motors, where the government mandates everything politically correct, rewards its cronies and produces junk steel.

This is the car that subsidies built. General Motors lobbied for a $7,500 tax refund for all buyers, under the shaky (if not false) promise that it was producing the first all-electric mass-production vehicle.

The Volt will only run 25 to 50 miles on a battery charge. Then a gasoline engine requiring premium grade fuel comes on to recharge the battery. Batteries do not last the life of the car. Replacements are exceedingly expensive and disposal presents an environmental hazard challenge. Sales were 326 in December, 321 in January, and just 281 in February.

Recently, President Obama selected General Electric CEO Jeffrey Immelt to chair his Economic Advisory Board. GE is awash in windmills waiting to be subsidized so they can provide unreliable, expensive power.

Consequently, and soon after his appointment, Immelt announced that GE will buy 50,000 Volts in the next two years, or half the total produced. Assuming the corporation qualifies for the same tax credit, we (you and me) just shelled out $375,000,000 to a company to buy cars that no one else wants so that GM will not tank and produce even more cars that no one wants. And this guy is the chair of Obama’s Economic Advisory Board?


Consumer Reports got about 30 miles to the gallon of premium fuel; which, in terms of additional cost of high-test gas, drives the effective mileage closer to 27 mpg. A conventional Honda Accord, which seats 5 (instead of the Volt’s 4), gets 34 mpg on the highway, and costs less than half [the cost of a Volt] even with the tax break

Here we have a government that is building an overpriced car at a loss, paying people $7,500 to buy it and still can’t sell it. It’s the perfect example what you get when the free market system is replaced with central planning – a surplus of unwanted products, shortages elsewhere and industry/government collusion to make it all happen.



Chevrolet sold 287 Volts in February, down from 321 in January. Toyota sold 25,860 Corollas.

Now that General Motors is Government Motors, the dedication to the green car, the Volt, was a central planning decision, not a market driven one. The decision to build it had nothing to do with consumer demand.
A great deal of money was spent on its development, promotion and production. If the product fails, that money represents a loss to the wealth of the nation. Any time an economic failure occurs, everyone loses. This is the big picture. The picture the Left does not understand.

It happens in private enterprise too. But private enterprise plans to win. Central planning plans to fulfill an agenda. If private enterprise reduces their wealth and that of the nation, they alter their plans. Government uses a different yardstick. Strange as it may sound, the wealth of the nation is irrelevant to government. Size of government is what matters. Growth is good. Profit is sin. Appropriating the wealth of its citizens is virtue.

The Volt is a central planning car. The Volt is an economic failure.


When seeking stimulus money, Barack Obama railed about how badly broken the nations infrastructure had become after years of pre-Obama neglect. I live in the Northeast, the oldest and least modernized portion of the country. If there are crumbling schools and pot-holed highways anywhere I should be able to find them here. But the state highways are good, the Interstates are mostly excellent. In the city where I live the high school building is fine although not luxurious. The towns on either side of us have million dollar ball fields and multi-million dollar gymnasiums. Room for improvement? Always. Decaying and crumbling? Not at all.

But Obama got his money and a good bit of it was spent on infrastructure. There is a very nice 40 or 50 mile parkway here. Work started on a stretch of it, perhaps 8 miles long, well before any signs went up. Those of us among the uninformed who drive that stretch of the parkway regularly were puzzled; what were they planning to do on this perfectly good section of the road. We soon found out.

Biden came, stood on the road and made a speech. “America is being revitalized and we are starting here.” Signs were posted, heavy equipment came in, barricades went up narrowing the road, trees came down and dirt was moved. A few millions of dollars later the equipment will be gone, the barricades will be removed, the road will be the same and the nice landscape that was on both sides will be a little nicer.

It’s not just us citizens who are losing our freedoms, cities and states are losing theirs as well. The Federal Highway Commission is requiring the City of New York to spend the city’s own money to replace signs that read like “PERRY AV” with signs that read like “Perry AV”.

Every street sign in the city must be replaced at an estimated cost to the city of $27.5M. Why? The Fed says the old ones are less safe. “Drivers can read Perry quicker than they can read PERRY so their eyes will return quicker to the road”. Hard to believe? Here’s a link to the story.

This sort of thing is much more than utter stupidity and waste, or perhaps a return to a sign maker for his campaign contribution. It’s the tyranny of central planning.



British half cent (half penny) coin

The other day, my wife and I were leaving a restaurant in a tourist town. As we stepped out the door, a couple was standing on the sidewalk looking at the menu in the window. They asked us what we thought of the food and service. We had just dined there, we should know. Hold that thought.

Pravda became internationally known as the propaganda organ of the Soviet Union. Gorbachev’s Glasnost gave them an independent, if not totally free, voice. Today’s Pravda is largely free to express the thoughts and minds of the Russian people.

There is a certain form of government we call Communism. The Russians call it Marxism; academics call it Central Planning or Collectivism; the Tea Party calls it Socialism; author Mark Levin, in Liberty and Tyranny calls it Statism. There is not a ha’pny’s difference between them. The Russian people know this form of government very well. They have been dining there for years. Here is what Pravda had to say three months after the inauguration of Barack Hussein Obama.

American capitalism gone with a whimper
PRAVDA 27.04.2009

It must be said, that like the breaking of a great dam, the American decent into Marxism is happening with breath-taking speed, against the back drop of a passive, hapless sheeple, excuse me dear reader, I meant people.

True, the situation has been well prepared on and off for the past century, especially the past twenty years. The initial testing grounds was conducted upon our Holy Russia and a bloody test it was.

Those lessons were taken and used to properly prepare the American populace for the surrender of their freedoms and souls, to the whims of their elites and betters. First, the population was dumbed down through a politicized and substandard education system based on pop culture, rather than the classics. Americans know more about their favorite TV dramas then the drama in DC that directly affects their lives. They care more for their “right” to choke down a McDonalds burger than for their constitutional rights.

Then their faith in God was destroyed, until their churches, all tens of thousands of different “branches and denominations” were for the most part little more then Sunday circuses and their televangelists and top protestant mega preachers were more then happy to sell out their souls and flocks to be on the “winning” side of one pseudo Marxist politician or another.

The final collapse has come with the election of Barack Obama. His speed in the past three months has been truly impressive. His spending and money printing has been a record setting, not just in America’s short history but in the world. If this keeps up for more then another year, and there is no sign that it will not, America at best will resemble the Weimar Republic and at worst Zimbabwe.

These men, of course, are not an elected panel but made up of appointees picked from the very financial oligarchs and their henchmen who are now gorging themselves on trillions of American dollars, in one bailout after another. They are also usurping the rights, duties and powers of the American congress.

Then came Barack Obama’s command that GM’s (General Motor) president step down from leadership of his company. That is correct, dear reader, in the land of “pure” free markets, the American president now has the power, the self given power, to fire CEOs and we can assume other employees of private companies, at will. Come hither, go dither, the centurion commands his minions.

Prime Minister Putin, less then two months ago, warned Obama and UK’s Blair, not to follow the path to Marxism, it only leads to disaster. Apparently, even though we suffered 70 years of this Western sponsored horror show, we know nothing, as foolish, drunken Russians, so let our “wise” Anglo-Saxon fools find out the folly of their own pride.
Again, the American public has taken this with barely a whimper…

So, should it be any surprise to discover that the Democratically controlled Congress of America is working on passing a new regulation that would give the American Treasury department the power to set “fair” maximum salaries, evaluate performance and control how private companies give out pay raises and bonuses? Senator Barney Franks, a social pervert basking in his homosexuality (of course, amongst the modern, enlightened American societal norm, as well as that of the general West, homosexuality is not only not a looked down upon life choice, but is often praised as a virtue) and his Marxist enlightenment, has led this effort. He stresses that this only affects companies that receive government monies, but it is retroactive and taken to a logical extreme, this would include any company or industry that has ever received a tax break or incentive.

The Russian owners of American companies and industries should look thoughtfully at this and the option of closing their facilities down and fleeing the land of the Red as fast as possible. In other words, divest while there is still value left.

The proud American will go down into his slavery with out a fight, beating his chest and proclaiming to the world, how free he really is. The world will only snicker.          Stanislav Mishin

I know, the author is disdainful, crude and given to overstatement. Even Barney Frank deserves a little more respect. But how is it so many in our land lack the vision to see where we are headed when someone 5000 miles away sees it so clearly? Somehow, I think, Stanislav Mishkin is equally perplexed.

The answer, of course, is that they have already been where we are just now going.

Bob B

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