In 2009 President Obama ordered the bailout of the American auto industry GM because they were going bankrupt. With the promise of the bailout, GM was required to produce the new energy efficient Chevrolet Volt. This vehicle reportedly gets 60 miles a gallon and can save the environment from greedy American consumers. The government will subsidize each one of these cars sold to encourage cleaner energy. Is the Volt going to solve our problems as the largest contributor to "man made global warming"?
If we take a look at the numbers behind the scene for this vehicle, it is economically a disaster. According to Investor's Business Daily "Volt is a problem for GM: With Chevrolet falling well off the pace to sell its target of 40,000 cars this year — only about 13,500 have been sold — GM has shut down Volt production for the second time this year." The Volt is not as profitable or affordable/consumable as the Toyota Prius. The volt "costs about $89,000 to build" and GM is in the range of " losing nearly $50,000 on each Volt it makes." How much can American tax payers put up with before the bottom falls out of this government endeavor. Lets not forget that Volt owners are required to plug their car into the wall every so often to re-charge it. However the better part of all electricity consumed in America comes from coal, which is far from clean energy.
Because GM accepted a large amount of funds from the government, i.e. they touched the force, they are required to do what they are told. If the Volt does not pick up sales, more people may be out of work, and GM may have to drop the fuel efficient program required by the government in order to survive. Just because GM made a capital mistake and needed the government to bail them out, "[t]axpayers shouldn't be required to finance another moment of the left's green fantasy."
http://news.investors.com/ibd-editorials/091012-625256-taxpayers-should-not-be-saddled-with-gm-volt-losses.htm#ixzz2Dk1qkthJ
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