It is official, General Motors has declared bankruptcy and when restructured the US government will own 60% of the company. Of course General Motors and Barack Obama are defending this saying that it makes a GM vehicle a better choice because your warranty will be backed by the US government. One thing not being brought out is the constitutional ground for such an unprecedented action. There is nothing in the Constitution that permits the US government to invest in any business in this way. Think about it, the largest American auto maker is largely government owned.

The Constitution limits the US government to certain powers and forbids all other actions. If the American people in framing and ratifying the Constitution did not choose to empower the federal government to choose which businesses fail and which ones are saved then this is an illegal act.

Many will wonder what alternatives were possible. If a company makes bad choices then let it fail. When the employees, through their unions, make business unprofitable for the company they deserve to experience the unemployment line. What the government subsidizes you get more of. So long as the government intervenes to remove the pain from bad decision you will get more such decisions.

Every American who loves the Constitution should pass by the General Motors lot and shop elsewhere.