02-17-2012, 03:48 PM
Trouble wrote:
[quote=Ted King]
http://www.economist.com/node/16846494
This is from Aug 19th 2010:
So was the auto bail-out a success? It is hard to be sure. Had the government not stepped in, GM might have restructured under normal bankruptcy procedures, without putting public money at risk. Many observers think this unlikely, however. Given the panic that gripped private purse-strings last year, it is more likely that GM would have been liquidated, sending a cascade of destruction through the supply chain on which its rivals, too, depended.
Never would have happened. GM is too big and selling more than enough around the world to carry the company. The problem is the UAW severely weakens them. Sure, GM can carry the union burden when the economy is rolling. Slow down the economy and the UAW cripples them.
Can you provide a cite from a reliable source that the assessment of the Economist economists is in error and a reliable source to support your contention that GM would not have gone into bankruptcy if it didn't have unions?