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Obamacar for the 1 Percent

The real scandal behind this week’s latest electric-car barbecue is a reminder that taxpayer dollars are being burned up to subsidize wealthy Americans’ dreams of owning a $100,000 sports sedan.

“California-based Fisker said Thursday it is recalling 239 plug-in electric hybrid cars because a misaligned battery part could lead to a fire,” reports the Detroit News today. “It comes just a month after the National Highway Traffic Safety Administration opened a formal investigation into fire risks in General Motors Co.’s plug-in hybrid, the Chevrolet Volt.”

Like the Volt, the Karma’s move is a precautionary measure — no fires have been reported in real-world use (though it is a further irony that coal-powered “alternative batteries” share fire risks with their standard gas-fired engines — one of which is also on board each plug-in hybrid Karma). The Karma’s hose issue will be addressed and repaired.

But the damage to taxpayers’ wallets will not.

The gorgeous, four-door Karma — with its “EcoChic edition” interior featuring high-end textiles, faux suede, and rescued California wildfire hardwood — is only affordable to the few. Yet Washington is subsidizing each purchase with a whopping $7,500 of your money. Feel better that your tax dollars are reducing the import of foreign oil? The Karma is assembled in Finland.

Worse, millionaire owner Henrik Fisker shook down Washington for an additional $529 million in low-cost loans to build his “baby Karma,” the $45,000 Fisker Nina. Taxpayers ponied up an additional $249 million (and $125 million in state incentives) to build A123 System’s battery plant in Michigan to supply Fisker with its lithium-ion batteries. That luxury plug-in — pitched at well-to-do customers also looking at a BMW 3-series or Mercedes-Benz E-Class – will come with the same $7,500 subsidy in the glove compartment.

As the Fisker saga demonstrates, the Democrats’ 99 Percent campaign is a fraud. The venture capitalists and corporate CEOs browsing Karma showrooms are getting handouts courtesy of the president himself — one of many outrageous examples of green, “trickle-up” Obamanomics.

New on Planet Gore. . .


COMMENTS   3

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KevinK
   12/31/11 00:16

“California-based Fisker said Thursday it is recalling 239 plug-in electric hybrid cars because a misaligned battery part could lead to a fire,”

Isn't the fact that they are ONLY recalling 239 cars a CLUE about the alleged market success of this product ? Seems that Government Motors is recalling THOUSANDS of internal combustion cars since SOMEBODY at the factory FORGOT to put all the brake pads into them before they shipped them to the customers............

The Electric Car, it's time came and went back about 1915........... A DUD then, and STILL A DUD a century later...............

Cheers, Kevin.

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   12/31/11 02:39

Important point. Most people don't need a $100,000 car. People willing to pony-up $100k for a car, just "want" one. Cars at this price are extras, luxuries, or in plain terms...toys. I have a problem with subsidizing unnecessary toys for people who can easily afford them. For anyone capable of buying a $100,000 toy, $7,500 is not a big concern. It's more like a kick back for buying an expensive toy by compensating them for the usual freight, tax, tag, and title fees. Why are we subsidizing paper work for the wealthy? Wait, it gets worse.
More offensive than subsidizing toys for the wealthy, we, the taxpayers, are subsidizing someone's eco guilt trip, or even creepier, subsidizing the Gaia-green pedestal on which these enviro-altruists believe they should repose as they look down on us poor serfs who can only afford antique combustion engine vehicles. What sort of sick, twisted government intellect could rationally justify this as a wise expenditure of the taxpayers money?

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frost
   01/01/12 17:21

Besides the $249 million gift from the feds mentioned above there was also a $200 million guaranteed loan to A123. After that infusion of money from the government their stock was over $27. At this time it's about $1.60 so at 118 million shares outstanding the market is valuing the company at $188 million. A half billion of government money doesn't go very far these days.

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