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Originally Posted by CIWS  If the Big 3 go out in the next couple of years we will definitely hit a depression, one that will be worse than the 30s. |
I agree, if we let them go under we're totally screwed forever. More money goes overseas to the foreign owned auto companies, no control over our dependence on foreign oil, fewer plants to build military equipment if there's a major war, the pension and health care costs aren't going away... they'll simply be an additional tax burden.
In addition to that; around 3 million jobs are lost in the US (I don't know how many around the world). The government will lose tax collection on $400 billion in annual wages, they'll have to bail out states that already can't afford to pay unemployment... the list goes on and on. To not provide a loan would be insane, and the words "mutually assured destruction" come to mind when I think about it.
Our national debt is expected to rise by approximately $2 trillion over the next year or so. The last thing we need to do is to kill off a future source of jobs and revenue and become more dependent on other countries. Yes, GM, Ford and Chrysler need to restructure but we can't afford to lose them.