I Hate This Story
By Arnold Kling
I’ve written about it before, but Wired reminds me,
Startup companies that enjoy DOE support, most notably Tesla Motors and Fisker Automotive, have an extraordinary advantage over potential competitors since they have secured access to capital on very cheap terms. The magnitude of this advantage puts the DOE in the role of kingmaker with the power to vault a small startup with no product on the market — as is the case with Fisker — into a potential global player on the back of government financial support.
As I have said before, as far as I am concerned, this is the worst Obamination. The American people are being forced to participate in a venture capital fling in which they take most of the down side and none of the up side. And it is not being debated. Nobody has to come before the public and explain themselves. If you call yourself a progressive, are you proud of this?