More and more, it seems like both Detroit and the entire state of Michigan are microcosms for what’s been going on at the national level over the last two-and-a-half years.
Just like Progressive economic policies screwed over this city and this state, similar policies have left the economy in a malaise that the CBO says we won’t recover from until at least the next administration.
Enter the bankruptcy of Solyndra, a manufacturing company in California that was supposed to produce solar panels.
Solyndra’s bankruptcy combines the political corruption of Detroit politics with FMR Governor Jennifer Granholm’s failed clean energy initiatives and packages it into a $535 million disaster that all taxpaying Americans have to pay for.
The details are both grisly and maddening.
Solyndra was hand-gifted this half billion dollar loan despite strong concerns from both the Department of Energy and the Office of Management and Budget, both of which are headed up by Obama appointees.
In a sorry attempt to cover its ass, the Obama Administration defended the gigantic loan despite the fact that “on Aug. 31, 2009…an email from OMB staff and Terrell McSweeny, special assistant to the vice president, said, ‘We have ended up with a situation of having to do rushed approvals on a couple of occasions (and we are worried about Solyndra at the end of the week). We would prefer to have sufficient time to do our due diligence reviews and have the approval set the date for the announcement rather than the other way around.’”
Having been caught with their pants on the ground, the Obama Administration denied any direct involvement in the approval of the massive loan.
However, a series of emails released to the public suggests otherwise, including one email between the DOE and then-White House Chief of Staff Rahm Emanuel in which Emanuel wondered how Obama’s team could help speed the loan along.
Just like the Kwame Kilpatrick text messaging scandal from 2008, the Solyndra scandal is blowing up and spreading all over the media like wildfire.
While the Solyndra scandal could be seen by Obama supporters as just another bitter partisan attack, this scandal is so bad that even Obama’s Treasury Department is launching an investigation into the matter using FBI agents.
In the face of this brewing scandal, the carbon tax supporting Washington Post concluded that the federal government must scale back on its asinine funding of the clean energy sector.
That brings us to the main point.
It’s not just that the Obama Administration is being accused of another scandal with the same political magnitude of the Black Panther scandal from summer 2010.
It’s that the scandal is centered on a failed industry which only exists because for years, left wing ideologues in the government have literally forced it to exist with billions of dollars in wasted subsidies.
In regards to Solyndra, the failure of the solar industry could not be clearer:
“Ken Zweibel, director of the Solar Institute at George Washington University, said, ‘It coincides with the fact that the industry is in trouble. There is a crisis in the solar manufacturing world; there’s no question about it. With three companies declaring bankruptcy in three weeks, there’s no question that they’re all under pressure.’”
Furthermore, “even where companies do create jobs, they do so at such exorbitant cost that the effort cannot reasonably be considered a success. To date, The Washington Post reports, the Energy Department loan guarantee program from which Solyndra benefitted has created one new permanent job for every $5.5 million spent. Lend that kind of money to a private business in an industry that doesn’t rely on taxpayer support, and it will put hundreds if not thousands to work.”
Indeed, DOE records documented in that Post article reveal that the green jobs initiative the President launched with his stimulus bill has been a complete failure.
$38.6 billion was allocated with the intention of creating or saving 65,000 jobs, but according to the DOE, only 3,545 new jobs were actually created.
It’s one thing when Progressives like Obama distort the free market with harmful subsidies because they hate the organic results of supply and demand. It’s another thing when politicians engage in illegal cronyism.
Combine the two together and you get the most outrageous scandal between government and business since Warren G. Harding’s Teapot Dome scandal.
Chicago style politics?
Good for the American people?
Only if you’re part of the increasingly thuggish left wing mob ring, a ring which is fanatically obsessed with stealing our wealth and using it to fund the completely failed clean energy sector.