Ok, I get the part where they'd have to declare bankruptcy.
How many cars would've been sold to Americans on the cheap as part of liquidation?
How many cars have been made since then?
How many Americans care about the cars made since then?
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Then Chevy and Dodge would have ended up in bankruptcy court.
They would have had to go into a settlement program and totally reorganize. As part of the re-organization some suppliers would have been hurt and others would have benefited.
But the big looser would have been the Unions. They would have had their contracts invalidated and ruled unenforceable by the court. They then would have been given the choice of having the industry going non-union or accepting a contract where they have lees power and their members would make less money.
In the end the automakers would have had lower operating cost, different management from the one who ran them into bankruptcy, and much lower labor costs.
Lower operating cost should have driven down car prices.
Have you noticed that of the big 3, the one with the highest payout to investors, the lowest percentage of debt, the best stock prices, the highest stability and some of the best products on the market today is the only one that did NOT take any of the bailout money?
Anonymous
America would probably have a stronger Car industry if that had been allowed to happen, certainly it would have taken a different shape and be more productive.
Initially some cars may well have been available cheap, but that would not last, however there might have been by now slightly cheaper cars anyway.
Not being in the States I can't answer the last question.
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we'd desire to continuously bail them out; i do no longer see how all people that quotes a lot for vehicles might desire to be broke. Wait i be conscious of; the unions for my section are breaking them. All you hear is strike for wages strike for wages and the automobile industry workers are between the utmost paid production unit workers around. once you pay somebody over 20-25 funds and greater hourly and to press buttons there is not any ask your self its occurred. Unions might desire to be put in their place and gasoline performance might desire to be authentic priority. it may sound merciless yet whilst greater robots and much less people working make vehicles greater value-effective then I say pass with that. Bail them out in case you nonetheless want autos with warranties etc.
Anonymous
It would be sold by auction.It did happen the same as Volvo, Saab etc. Then it will be out of hand. It might still be Detroit,but controlled and managed by Chinese.