A pledge of one's credit is has tangible value. If you co-sign an auto loan for your son, he can borrow on more favorable terms. If the government co-signs, (at least back in the 70's) more favorable still. But when you co-sign, it impairs your credit rating and you must make future loans on less favorable terms.
No argument.
But I was responding to a question whether the Chrysler bail-out had cost the taxpayeres any money.
The answer is: none at all.