MCViewPoint

Opinion from a Libertarian ViewPoint

Posts Tagged ‘GM Plant Closure’

EconomicPolicyJournal.com: RIDICULOUS: Trump Blasts GM Plant Closure

Posted by M. C. on November 27, 2018

http://www.economicpolicyjournal.com/2018/11/anti-free-market-trump-blasts-gm-plant.html#more

…This is simply a business decision. Obviously, the costs involved in running the five factories and employing the 14,000 jobs could not be done profitably.

The costs, price signals. on a daily basis signal to business operators what projects make sense to be taken on and continued and which are not profitable because the total resources required are being demanded at higher prices elsewhere.

This type of shift is a naturally occurring event in the economy that occurs all the time.

It should be cheered on as making the economy ex ante more efficient and productive.

However, the economic illiterate president is doing the exact opposite. He is threatening GM and says they better find new projects for the idled plants.

“They better damn well open a new plant there very quickly,” Trump said in an interview with The Wall Street Journal on Monday, noting that he talked to  GM Chief Executive Mary Barra Sunday night.

“I told them, ‘You’re playing around with the wrong person,’” Trump said.

This, in effect, is Trump demanding GM to become less efficient. It is fascism-lite. What a horror. Trump is just too dumb to realize: Read the rest of this entry »

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