Saturday, January 30, 2010

Getting America on the right track? Or derailing the constitution?

President Obama has announced a multibillion-dollar investment in high-speed railroads that could travel as fast as 200 miles per hour.

Not that this is a bad idea but since the Government can’t run scAMTRAK at a profit what makes him believe that this will be any different?
The interesting word here is ‘Investment’ If this is such a good idea, you would think that private enterprises would be clamoring to build such a rail system, but they are not for a reason. It’s unprofitable.

With costs estimated at several hundred billion dollars, let’s just speculate, $500 Billion, the rail service would have to produce a $30 billion profit to justify the expense, and that’s a modest 6% return. Lets also speculate that the profit margin is 17% that means that it would have to generate sales of 176 billion. The US airline industry consists of over 300 companies and generates revenue of about 120 billion….anyone see a problem here?

I have two questions for the President.

1. Where is the money going to come from?
2. What enumerated power in the constitution, gives you the authority to ‘invest’ our money this way.
I won’t hold my breath.

The bottom line is this;
If this is such a great idea, private enterprise would have built this years ago, High Speed trains aren’t a new concept. Just stop spending our money and follow the Constitution. Remember? The one you swore to protect and defend?

Michael Wardell is a Republican Candidate for Congress in Mo. 7th District.

2 comments:

  1. I could not agree more. But when stepping back you see the reason(s); Unions. Tracks/infrastrcture, building and service UAW,STEELWORKERS, SEIU. The only union to have long-time benifit here is the SEIU who is obviously connected at the hip to ACORN and whose leader Andy Stern has weekly meetings in the Oval Office.

    Ask the question to the other two or even more unions what happens after the builing is done? You guessed it - LAYOFFS.

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  2. I agree 100%. I just wish you lived in Mich. We need more conservatives to get us out off our mess. You should think about writing some posts for Christopher and other conservative blogs. It is a good way to get know and find support. You are more then welcome to write as a guest blogger on my blog if you would like. We conservatives need to use the blogs to our benefit. Please let us know how we can help you. Both Christopher and I have readers from all over.Keep up the good work.

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