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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: i-node who wrote (438426)	12/5/2008 11:27:04 AM
From: Alighieri	Read Replies (2) \| Respond to of 1574180

There was testimony a couple days ago from credible industry analysts who said there was "very little doubt" that the automakers, if given this money, would be back "around Fall". How is that different than unions making significant concessions? Do you know for sure that the economy can withstand a collapse or even a severe contraction of the domestic auto industry? With talk of severe recession or even depression, are you willing to gamble for $35B when financial institutions have been given 20 times that much? Al

To: i-node who wrote (438426)	12/5/2008 12:19:11 PM
From: Joe NYC	Read Replies (1) \| Respond to of 1574180

I don't know about Joe, but I think it could be given consideration were that the case, as they would have a reasonable shot at repaying the money. I think I would go a step further. I would not make it a loan, but I would have government purchase newly issued shares of the Big 3 (at these depressed levels), rather than a loan, with proceeds going straight into Big 3 cash accounts. That way, profitability would be easier to achieve (fewer debts), and government can actually make money to compensate for the risk. If Big 3 never achieve profitability, the loans would never be repaid anyway. joe