Here are a few choice pieces to read to get up to speed on Obama’s Chrysler mess.
Neal Boortz explains secured and unsecured loans. (It sounds boring, but it’s not.) Usually secured lenders get precedence in a bankruptcy, but Obama is setting another ominous precedent by turning that upside down. And in the process he has demonized the secured lenders involved as “speculators.”
Obama demagogued these secured lenders by saying “I stand with Chrysler’s employees and their families and communities” and not “those who held out when everybody else is making sacrifices.” So there you go. If you want to enforce your security interest – if you want your money back — you’re against Chrysler’s employees and families. Everyone else is making sacrifices and you don’t want to. Hey … wait a minute here. Are we forgetting that these people have obligations to their shareholders?
What effects will this have on the loan industry?
(I’d like to hear about this from Yaron Brook, who has written on the history of money lending. Obama is the latest in a long history of fools who demonize moneylenders.)
Mickey Kaus on Obama’s Chrysler debacle.
On another subject, here is a liberal who is uncomfortable with the conformist thinking on her side. With such independent thinking, this author can’t remain a liberal for long.
UPDATE: Jennifer Rubin writes about how Obama is destroying the rule of law. Now we see what Obama meant when he promised the fundamental transformation: he meant turning the greatest capitalist nation in the world into a banana republic.