The Chrysler Group bailout officially ended Thursday when the Treasury Department sold off its remaining stake in the automaker, and the final tally shows the taxpayers lost $1.3 billion.
Only our government could think of losing $1.3 Billion as a success.
Well, there are a few questions:
1: What’s the likelihood that holding on to the stock would result in gains? Sometimes it’s better to cut your losses.
2: More significantly, there’s an imperial shit-ton of pressure for the government to divest itself of any holdings in corporate stock. God forbid we have a socialized industrial policy. Unlike, say, such economic failures as China, Germany, India, Brazil, … This (as with much right-wingnut economic policy) is taken as an article of faith, immune to factual evidence.
Note that a “success criterion” of the sale was exiting ownership of Chrysler 6 years ahead of schedule. Divestiture is seen as more critical than profit.
Was the bail-out worthwhile? That will depend on how well the company does from here on out in generating jobs, income, revenues, and tax receipts.
1: The agitators against government-held assets would never allow for metric units to be used.