GM bankruptcy would be biggest by far - 15 million jobs potentially at stake

The solution appears to me to be to reallocate the workers at GM onto some other large infrastructure project - such as resuscitating the USA's decrepit railway infrastructure.

Please don't tell me that GM is too big to fail. The end of the gas guzzler has arrived, and to force these companies to survive is pouring good money down a black hole.

clipped from www.globalresearch.ca If GM failed soon most, possibly even all of the US and even foreign auto suppliers will go under. Those parts suppliers are important to other auto makers. Many foreign car factories would be forced to close due to loss of suppliers. If the impact of that 2.5 million job loss is seen in terms of the overall losses to the economy of non-auto jobs such as services, home foreclosures caused and such, some estimate total impact would be more than 15 million jobs. For GM to go into bankruptcy risks a disaster of colossal proportions. Lehman Bros., the biggest bankruptcy in US history, appears to have had an orderly settlement of its credit defaults swaps, GM is bigger by far, meaning bigger collateral damage, and this would take place when the financial system is even weaker than when Lehman failed.