EZC-Boston Posted February 18, 2009 Share Posted February 18, 2009 I was watching Fox Business this morning and they were saying that GM crunched the numbers and it will be cheaper for the government to give them the $16 billion or whatever they are asking for than for GM to declare bankruptcy. I don't understand how that would be the case. I think it had something to do with the role the government would play in the bankruptcy proceedings. I'm not looking for a fight or a debate, just to understand what is going on. Thanks! Link to comment Share on other sites More sharing options...
Alaska Darin Posted February 18, 2009 Share Posted February 18, 2009 I was watching Fox Business this morning and they were saying that GM crunched the numbers and it will be cheaper for the government to give them the $16 billion or whatever they are asking for than for GM to declare bankruptcy. I don't understand how that would be the case. I think it had something to do with the role the government would play in the bankruptcy proceedings. I'm not looking for a fight or a debate, just to understand what is going on. Thanks! Because of the downstream effects of GM's bankruptcy. They subcontract to a whole bunch of small companies that'd likely go belly up if GM closed their doors "on paper". Link to comment Share on other sites More sharing options...
Acantha Posted February 18, 2009 Share Posted February 18, 2009 Because of the downstream effects of GM's bankruptcy. They subcontract to a whole bunch of small companies that'd likely go belly up if GM closed their doors "on paper". I wonder if they were counting the last bailout, the next one, or just the current one? Link to comment Share on other sites More sharing options...
Alaska Darin Posted February 18, 2009 Share Posted February 18, 2009 I wonder if they were counting the last bailout, the next one, or just the current one? I don't think it really matters. The government is virtually always going to step in and spend money to alleviate short term pain with the long term consequences being ignored. The historical evidence is overwhelming. Link to comment Share on other sites More sharing options...
Stl Bills Posted February 18, 2009 Share Posted February 18, 2009 Because of the downstream effects of GM's bankruptcy. They subcontract to a whole bunch of small companies that'd likely go belly up if GM closed their doors "on paper". Yeah according to figures produced by GM.....I'm sure I hope the goverment has also researched the impact of passing or not passing an automobile bailout but I'm not so sure after what happened in the fall when they bailed out the banks. "Heres 700 billion dollars....spend it however you want" Uncle Sam Link to comment Share on other sites More sharing options...
KD in CA Posted February 18, 2009 Share Posted February 18, 2009 Can't wait for the airline bailout..... Link to comment Share on other sites More sharing options...
Stl Bills Posted February 18, 2009 Share Posted February 18, 2009 Can't wait for the airline bailout..... I know how come everytime I've been bailed out I end up having to pay a sh*t load of money back to the government? Link to comment Share on other sites More sharing options...
IDBillzFan Posted February 18, 2009 Share Posted February 18, 2009 Can't wait for the airline bailout..... These bailouts are putting people to work, dammit. Do you have any idea how many people are put to work just to help print more money? Link to comment Share on other sites More sharing options...
Recommended Posts