So-called progressives have no problem taking from the working class to give to the rich – so long as it’s the rich of their choosing… via L.A. Liberty
The Fisker Karma is Back
What if you build it – and they don’t come?
Send the bill to the taxpayers!
This is how you make money in the New America. Well, the green America.
Don’t earn it.
The “business model” is simple enough: Glom on to a politically high-fashion issue – electric cars, for instance. Then obtain government (meaning, taxpayer) “help” to fund their design and manufacture. When no one – or not enough – people buy your electric wunderwagen, simple declare bankruptcy and walk away.
With your pockets full of other people’s money.
Then, when the smoke clears, do it again.
And is getting ready to do a second time.
Back in ’09, the company secured $529 million in government loans, which were being doled out generously by the Obama administration (and previously by the Bush administration) under the auspices of something called the Advanced Technology Vehicles Manufacturing Loan Program.
Well, “loan” is not exactly accurate – because the government doesn’t really have any money of its own to loan. It only has the money it takes from you and me others via taxation. So what really happened is that the government forced the taxpayers of the United States to loan Fisker $529 million. (It also forced the taxpayers to “help” fund another electric boondoggle, the infamous – but now forgotten – Solyndra debacle.)
Fisker, like Tesla, specializes in high-dollar electric exotic cars that – so far – have not earned an honest dollar but have cost taxpayers hundreds of millions. Billions, actually. The reason for this ought to be obvious – no engineering degree required.
Electric cars make sense when they are economical cars.
To date, no one has managed to manufacture one. They cost more – overall – to own than conventional cars and they also (unlike conventional cars) have functional liabilities that include long recharge times and limited range. Rather than focus on – and fix – these issues, which might make for a marketplace-viable electric car, manufacturers like Fisker and Tesla build high-performance, flashy and very, very expensive electric cars. On the theory that sex appeal rather than economic sense will sell ’em. … [B]uying a Fisker or a Tesla literally triples or quadruples the cost of driving.
Yes, yes, the cars are sleek and sexy – and even quick.
Which is as relevant insofar as the bottom-line purpose of an electric car… People in a position to buy a six-figure Fisker Karma (like the actor Leonardo diCaprio, for instance) are not struggling to pay their fuel bills.They buy a Fisker or a Tesla as a fashion statement.
But the people who are concerned about gas bills aren’t in the market for a six-figure Fisker.
Hence the need for government “help.”
When you can’t sell ’em, force others to subsidize ’em. Read the rest of this entry »
The same high-end appliance Starbucks uses to fine-tune brews
Silicon Valley types know how to optimize their lives.
Molly Mulshine reports: They monitor workouts with high-tech armbands and step-counters and control their homes’ temperatures from the comfort of their iPhones. The hard-core have even removed the guesswork from their diets, ingesting nutrients in the form of a few fine-tuned daily protein shakes and vitamins from IV drips. Don’t you just hate them?
So it is not surprising that the tech world’s top brass put their heads together to create the perfect coffee machine, the Blossom Brewer. Made specifically for cafes and restaurants, of course, the tech elite have snaffled them up for their homes.
The American solar and wind industries have had a rough go of it the past few years despite considerable assistance from Washington. Now, the FT reports that A123 Systems, a company that specializes in manufacturing batteries for electric cars, is filing for bankruptcy. This is yet another blow for Obama’s green energy program, under which the company received a $249 million grant:
[The] bankruptcy follows that of other companies backed by US government grants or loan guarantees, including Solyndra, a manufacturer of innovative solar modules, Abound Solar, another panel maker, and Ener1, which also makes batteries for electric cars.
The news is unsurprising; electric cars simply aren’t selling as well as boosters promised. Following low sales reports, A123 missed a debt payment on Monday, and announced plans to file for bankruptcy and sell most of its assets to to other companies.
A123 Systems is only the latest in the growing list of failures in Obama’s controversial green jobs agenda, which Republicans have been consistently attacking on the campaign trail. Whether or not the Administration pays a political price for these failures, it’s time for a change of direction before millions more dollars are wasted.
- Another green energy bankruptcy gives Romney fodder for debate (cbsnews.com)
- A123 is latest aid recipient to file bankruptcy – Boston Globe (bostonglobe.com)
- Official: A123 Systems Files for Bankruptcy (dailytech.com)
- Breaking: Another Green Company (Which Received $249 Million in Govt. Grants) Bites the Dust (see Update) (newsbusters.org)
- A123 Bankruptcy Protection Filing Turns Political (wbur.org)
- Electric Car Battery Maker A123 Systems Files Bankruptcy (bloomberg.com)