Volkswagen: The New Solyndra? You Paid Them $51 Million


German auto manufacturer Volkswagen was caught misleading authorities and customers about emissions in their diesel cars–a mistake that will cost them $7.3 billion.

What’s even more disturbing is the fact that the company raked in $51 million from US taxpayers for “green subsidies” for increases in efficiencies they lied about. Yes, a German company took US taxpayers for $51 million.

This highlights that corporate subsidies are a scam. The United States has a monstrous debt yet we are shoving money towards companies. This is corporate welfare. This is what happens when the government picks winners and losers. The taxpayers and consumers lose. Remember Solyndra?

It should never be the government’s priority to take tax dollars to fund multi-billion dollar corporations. More than likely, this is political payback from politicians to their “green energy” donors, as Jake Novak at CNBC reports.

Now, let’s bring in the specifics of this VW story to see how we’re not just talking economic folly here but political ideology too. “Green subsidies” are mostly the result of politicians hoping to spend their way to an environmentally friendly reputation and the big donations that can come from that from traditionally green donors in Hollywood and Silicon Valley. For those politicians, the actual results don’t matter; it just has to look like they care and look like they’ve put something into action. And that kind of attitude is contagious. Once the recipient of the subsidies sees the politicians are really only doing it for show, they often follow suit. In VW’s case we have a most extreme example, as the company created software to simply make it appear it was being green.

Green energy taxpayer funded scams, such as this one, are fueled by environmentalists and the politicians they support. Former Vice President Al Gore wanted to the be the first carbon billionaire. Look no further than that goal to realize there is a fortune to be made in this industry. And US taxpayers are footing the bill for green billionaires.

What are your thoughts on US tax dollars being given to Volkswagen in this scam? Would this prevent you from buying a Volkswagen? Please join the discussion.



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