Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?

To: Wharf Rat who wrote (134177)	5/29/2013 6:35:25 PM
From: Jim McMannis	Respond to of 149317

Nah. GM will end up with the same problems they had sooner or later.

To: Wharf Rat who wrote (134177)

5/29/2013 8:46:42 PM

From: koan

Respond to of 149317

Exactly, it was simple common sense you could not start from scratch. Bankruptsy would have decimated our car industry.

I always thought it was reassuring Obama showed he had basic common sense by his action. It reassured me when nuclear war is on the table.

If we had let the car companies go and destroyed those systems it would have plunged us into a much worse depression.

<<

Startling from scratch would have destroyed the US auto industry; that includes Ford and the foreign-owned companies....

Automakers that got no benefit — Honda, Ford, Toyota and others — either supported the auto rescue or had no formal position. Their rationale was that liquidation of a major company such as Chrysler or GM would send shockwaves through the companies that make auto parts, leading to a wave of bankruptcies. Many of those suppliers serve multiple automakers, leaving the remaining players to scramble for new sources of parts.

“Our position was quite consistent throughout, and it really stems from the fact that there is an integrated supply chain in this industry,” said Ed Cohen, Honda’s chief lobbyist in Washington. His company has 13,500 employees in Ohio. Our suppliers “would have had a very difficult time maintaining our operations,” he said. “It would have had a devastating impact on a lot of them.”
dispatch.com