Posted on 11/20/2008 2:03:40 PM PST by fightinJAG
Let's look at General Motors as a classic tale of large numbers. What would it mean if GM were to go bankrupt? How significant would it be to the economy?
Emotionally, we may feel General Motors (nyse: GM - news - people ) represents a pillar of our economy and should be saved. But when we look at the facts and rely on industry experts to put them in context, we see an alternative conclusion.
The Center for Automotive Research just released a report indicating that, as of December 2007, the motor vehicle industries employ 732,800 workers and the Detroit Three (GM, Ford and Chrysler) employ 239,241 workers in the U.S. Assuming the worst-case scenario--that all three companies will cease operations in 2009--the report estimates a loss of nearly three million American jobs.
This estimate assumes each direct job creates four jobs for suppliers and 7.1 "spin-off" expenditure-induced jobs.
(Excerpt) Read more at forbes.com ...
No, you are right, but the DemoSocialists do. They need UNION CONFIDENCE in their incompetence. They need the union vote. They could care less about out last dying large industry in America. They would RULE over the ashes if that is what power meant to them.
Marxist bastards.
I have a family member who is retired from GM. While I feel bad there, I agree it is unsavable. While unions were necessary before there was government regulation as to employer abuses, minimum wage, and other safeguards for workers, unions have outlived their usefullness imho, and now they only cause harm, ie education, autoworkers,american manufacturing etc. Time to let that dinosaur die and allow america to compete again.
If you think the economy is in the tank today just wait until GM goes down...
GM is already dead. and so is the rest of the economy...if people really cared about the economy they wouldn’t have voted for obama
The DOW was down 130+/-. Pelosi had a press conference to say, "Bankruptcy is off the table." The DOW tanked 300+ in 20 minutes!
Pelosullini told the world, "Capitalism is off the table."
yitbos
Agreed. The "ripple effect" will be more like a tsunami. Also, Gettafinger, should back off on the UAW concessions, he should go back to the auto makers and tell them UAW members are willing to take cuts in medical or pay, phase down quickly, not two years from now.
What good to an ecomony is a business that looses 18 Billion Dollars every 3 months? People are buying cars built in the USA. I own two late model vehicles that were built in the USA. A Toyota and a Honda. GM has been making substandard vehicles since the 1950's. Now that people have a choice, they are spending their hard earned cash on vehicles that are reliable. And those vehicles are NOT GM vehicles.
The only way that GM will survive is if it goes bankrupt and reorganizes and cancels all its union contracts and fires all its upper management and starts building cars that people want to buy. If we give them money now, they will continue to loose billions of dollars every month until even the US Government can't bail them out.
Buy American.
Buy Toyota and Honda.
After obama assumes power the U.S. will have no economy. He will strangle it.
GM:Gimme Money
The Chi-Coms can buy them and ship the whole company to China. No UAW there. Chinese love Buicks.
Oh wait, someone did...Everyone but the unions and auto-makers
I agree its going to mean a lot of pain. But the responsibility lies with the arrogant incompetence and greed of both the unions and the Big 3, not with the legislators that are resisting the bridge loan.
Exactly. The Big 3 automarkets are sooo 20th century and the only way to push the reset button is to let them die gracefully.
“GM has been making substandard vehicles since the 1950’s.”
Excepting, of course, my 57 Chevy 283, my 58 Chevy, my 59 ‘vette, and my 4-speed 68 GTO convertible. Other than those, you may be correct ;^)
GM has destroyed over $100 billion of capital in the last 25 years. The economy will be better without it.
“GM has been making substandard vehicles since the 1950’s.”
Excepting, of course, my 57 Chevy 283, my 58 Chevy, my 59 ‘vette, and my 4-speed 68 GTO convertible. Other than those, you may be correct ;^)
Yes, that is what I said when they did the customer survey. Quiet, conservative, excellent visibility, dependable. Gas mileage isn't real good, but it is a heavy vehicle. Told them to keep producing boring sterile vehicles that last long time.
sorry...my wireless keyboard has been acting up all day.
Didn’t they have any actuaries working there back when they were promising the world to these unions? Jeesh
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