Liberals Think Solyndra Loan Program a Success
Here’s one example of liberals touting the loan program that funded the failure Solyndra as a success. In the article, ThinkProgress author Jeff Spross conveys that with the $26 billion the program has dealt out, a whopping 20,000 jobs have been created. What’s the big deal, right?That’s just $1.3 million per job created! By touting this as a success of the loan program that funded Solyndra, Spross demonstrates how woefully out-of-touch he and other liberals like him are with the proper role of government in regard to the private sector.
Had that $26 billion been invested by the private sector in businesses that were deemed by experienced venture capitalists (not government cronies) to have the greatest chance of success, something between five and twelve times as many middle-class American jobs could have been created. It’s simple math. A middle class job is one which pays between $60,000 an $80,000 per year. Now, assuming that the money would have gone to more than just paying a salary—for example, to expanding the business’s revenue intake through marketing pushes or new product development—we can assume that it would have cost the business anywhere from $100,000 to $250,000 to create one job. (This is allowing plenty of leeway for inefficiencies and the cost of expanding the business to support the new job.) Compare those numbers, now, to the $1.3 million the government required, just to create one (probably not very well paying) job.
Liberals, of course, see this as a success because it was an investment in clean energy. For that, they are willing to ignore the abhorrent inefficiencies that inevitably arise when our government starts picking winners and losers in the markets. My father and his partners have been working for quite a few years now on clean energy financing, expanding their financial services business into the renewable energy sector out of their genuine concern for the environment. How much more difficult was their job made by President Obama’s decision to put government dollars (and the full faith and credit of the United States) behind one clean energy company instead of their profitable, private company that’s been in business for over 30 years? Thanks to this president, my father and his partners will have to work that much harder to earn even less.
That is what liberals don’t understand about the market, and about socialism in general. It does not promote prosperity; it hinders it. It makes hard-working, honest people work much harder to earn the same dollar. It’s unfair, and it will ruin our country.