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  • Rich People Win, Poor Kids Lose, in Obama's America

    Want a clear indication of President Barack Obama’s priorities? Take a look at the spending decisions emerging from his Administration today. In the battle between $40,000 dollar-electric-car-buying yuppies and at-risk kids in the DC Opportunity Scholarship Program, rich people won, and they have President Obama to thank for it.

    The Winners:

    Today, President Obama put the taxpayers’ money where his allegiances lie. The Daily Caller reports that the White House intends to increase taxpayer-funded subsidies for those who purchase new-technology vehicles, including the Chevy Volt, to $10,000 per buyer, up from $7,500.

    In case you haven’t been shopping for a Volt — and odds are, you haven’t — the vehicle carries a hefty $41,000 price tag. So what kind of person benefits from that tax credit? General Motors says the average income of a Volt buyer is $175,000 per year. And according to Bill Visnic, senior editor for Edmunds.com, “The Volt appeals to an affluent, progressive demographic.” In other words: rich yuppies.

    The Daily Caller reports that the subsidy “would cost taxpayers $100 million each year if it is approved by Congress, presuming only 10,000 new-technology autos are sold each year.” And if the President reaches his goal of putting 1 million of those kinds of cars on the road by 2015, the subsidy could cost $10 billion.

    Why is the subsidy necessary? It’s no big mystery. Despite the slick marketing, high-gas mileage, and environmentally friendly cachet that comes along with them, the cars just aren’t selling. In January, General Motors sold 603 Volts — almost twice as many as in January 2010, but less than half of its total sales in December. And in 2011, GM missed its projected sales volume for the vehicle, shipping 7,671 of the vehicles — well short of its target of 10,000.

    Automakers, of course, have a lot riding on the vehicles — but so does President Obama. His Administration has banked heavily on the vehicles being an important part of his energy policy and the “new green economy.” That strategy, though, is failing. No matter how much the President wants consumers to buy electric cars, most consumers don’t want them. But whether they like it or not, those consumers are subsidizing the buyers who do.

    The Losers:

    While the rich are riding in their taxpayer-subsidized electric cars, the losers in President Obama’s America are at-risk kids languishing in under-performing schools in Washington, D.C. As part of his FY 2013 budget, President Obama eliminates funding for the D.C. Opportunity Scholarship Program, which throws a school choice lifeline to children who would otherwise be left hopeless in Washington’s public school system.

    Thanks to the program, more than 1,600 low-income children in the nation’s Capital are using vouchers this school year to attend a school that they choose. The program has been a stunning success. Heritage’s Lindsey Burke writes:

    According to federally-mandated evaluations of the program, student achievement has increased, and graduation rates of voucher students have increased significantly. While graduation rates in D.C. Public Schools hover around 55 percent, students who used a voucher to attend private school had a 91 percent graduation rate.

    How much does this kind of success cost? A mere $8,000 per student, compared to the estimated $18,000 spent per child by D.C. Public Schools.

    To be clear: $10,000 in taxpayer funds to subsidize the purchase of an electric car versus $8,000 to give a child a choice in education. We know what the President chose. Which would you pick?

    Posted in Education, Featured [slideshow_deploy]

    16 Responses to Rich People Win, Poor Kids Lose, in Obama's America

    1. SnoBurd says:

      Once again, the president displays his disdain for the people who make this country work, and panders to his cronies.

    2. kevin murphy says:

      What are we contrasting here? Neither tax-payer subsidies for cars, nor tax-payer subsidies for school is Constitutional.

    3. scott says:

      Obama proves one again that he is all about big Money. When he speaks at Boeing this week he will have a $17,000+ per person fee to sit in a room with him and have a meal. He thinks that with enough money he can steamroll his machine into a second term. He has no clue to the amount of voter opposition to his re-election. You can see some of it expressed in sites like; http://www.bush-it-usa.com, where there are t-shirts opposing Obama. We need to take the message to the street and each day till election day. By pointing out what he has done wrong, the voters surely will not want to give him for more years to sink this country further!

    4. Things that make you go "hmmmmm"? Liberal or conservative….I don't think it matters.

    5. jim_in_nj says:

      I'm against ALL gov't subsidies, especially federal subsidies, including school subsidies (I hope the author of this article is just trying to make a rhetorical statement by the the title of this article) . I applaud the tea-party influence that was able to remove the Ethanol subsidy. Of course, that's why where seeing gas prices rise since January 1st (the stuff you put in your car is at least 10% ethanol).

      Next, we need to end the $230-$380 Billion subsidy to oil companies. If we ended all such subsidies, gas prices would likely approach $6/gallon this summer, and cars like the Volt will be competitive without the crazy $7500 ($10,000) electric car subsidy. And next we could do away with the idiotic CAFE standards that just distort the auto market.

      • atlmom says:

        Except there is no oversight for the DC school system *but* by the federal govt given the strange way that DC is not a state and has to do things.
        So perhaps for DC that is the right thing to do. It certainly isn't the wrong thing, given the horrible schools in DC. We are failing those children every day. And – they vote 98% democrat.

    6. Jeanne Stotler says:

      Obama is the Big Bully on the playground, he gets what he wants , not carng about who gets hurt in the meanwhile. If he doesn't like what his advisors say, he ignores them, e spends taxpayers money for frivolities, waste taxpayers money so as to buddy up to his supporters. He was tsuppose to have taught the Constitution, BUT did he actually read it, especially articles 1, 2 and 3 which outline the duties of each branch, if he did he sure is ignoring them.

    7. Given that — like it or not — government funds K-12 education, contracting it out to get a superior result for less than half the price makes sense to me. But not to Obama.

      His top priority is the labor unions. ALL ELSE is secondary.

    8. Ed says:

      Appeases both unions with that choice – autoworker and teachers union – makes me sick

    9. Given that — like it or not — government funds K-12 education, contracting it out to get a superior result for less than half the price makes sense to me. But not to Obama.

    10. Adam Grabiec says:

      Obama cares not about the poor only his fat cat buddies that can support his campaign!

    11. Wayne Hatch says:

      The poor can't afford to pay $30,000.00 a plate to have dinner with the President. He strokes the poor by railing on the rich, yet seeks to raise $1 billion to fund his re-election effort. This money doesn't come from the poor or near-poor; it comes from the rich. Railing on the rich gains votes from the poor who hold onto the "audacity of hope" offered by a false prophet. If he really cared for the poor, those kids in D.C. would be given choice for their education. He took that away from them, instead choosing to assist the rich in this instance to buy a "green car". He uses the poor. He panders the rich behind the scenes.

    12. sam says:

      the problem is why are electric cars priced so expensive.. it isnot obama fault that the volt is $41000.its all a conspiracy to keep us driving internal combustion cars.The auto industry makes too much money selling parts for these obsolete fossil fuel burning pieces of crap. its a shame that americans are so stupid. We should demand a econimically priced electric car for the masses. The monster Hitler did it for Germany and called it the voltswagen.The American gov. is so corrupt.

    13. John says:

      Next, we need to end the $230-$380 Billion subsidy to oil companies – I think so too.
      And for now I prefer Electric cars for youngest drivers only like electriccars4kids.org

    14. Barack Romney says:

      if you are such a smart fellow, then why dont you come up with a plan, get involved in the government, and try to get that plan into action. Also, its not a conspiracy. The facts are the facts. Cars with gasoline combustion engines are easier to make, and dont require so much wiring. In addition, there simply isnt the technology capable of having electric cars that can match gasoline powered cars. For instance, the lithium batteries in an electric car are so heavy that for a car to go say 1000 miles on one charge, it would take approximately 500+ cells linked together in a chain. That would weigh almost as much as an 18 wheeler.

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