A lot of attention is being paid on mortgages, subprime and the financials. F and GM are now under the radar, but what if they go Chapter 11 like a Delta airlines? What will happen from there?
the pensions & legacy costs get wipde out,,, the UWA comes back at 1/2 salary & is glad to contribute to medical insurance.... housing in Michigan gets vaporized... and then people rebuy at lower levels. and the CEOs get off their kneepads begging a Treasury b/c they made poor model choices and are too highly leveraged.. i continue to drive my Honda, which is an awesome car, and no longer have to marvel at the idiocy and arrogance of UAW leadershipo & members who continue to demand/epect $80/hr for screwing in cars seats. years ago legacy costs exceeded profit per vehicle, and thats when there was a profit.
The economy is toast. Hope you have cash on hand and not loaded up with credit card debt. Start buying canned goods when they are on sale. You have no idea how bad this is going to be. Add Osama Barack Obama to the mix and you have Armageddon. Which reminds me, I need to buy jars for canning tomorrow. Better learn how to either hunt or fish in order to eat my friend. Good luck!
My guess is that the booming auto industry in the soutern states will find its way North. Right now there are a half dozen billion dollar auto factories being built in the south. Also , we will lose the 25 billion congress just voted to give the bankrupt auto industries.
i think that was the second $25B... i think the first $25B was a rider on a larger bill. not arguing could be wrong.
The economy is scrambled eggs. Hope you have cash on hand and not loaded up with credit card debt. Start buying canned goods when they are on sale. You have no idea how bad this is going to be. Add John "Death Eater" McCain to the mix and you have Apocalypse. Which reminds me, I need to buy a meat grinder for making sausage tomorrow. Better learn how to hunt and eat my friends. Good luck!
Actually, GM and F need to be relieved..... The optimal structure would be for a Chinese based firm...or possibly firms like TATA....to take over the best assets......with some assembly taking place in the US....void of the labor unions, medical, and retirement obligations.... .......................................... Look at it this way..... An electric car selling for $18,000.... or the same electric car selling for $40,000 ? Which is better ?