3 ms·

Debt: 6 years to realize the savings on the interest? It nearly took GM that long to repay the debt they took on. It's sounding like a worse investment all the

Debt: 6 years to realize the savings on the interest? It nearly took GM that long to repay the debt they took on. It's sounding like a worse investment all the time. OTJ Experience: I think it's less speculative and lines less wealthy billionaires pockets to invest directly into education and industry beyond private market money to provide great learning experiences for people.

criley2 11y ago
>It's sounding like a worse investment all the time. Until you realize the negative feedback loop of hundreds of thousands of GM employees hitting unemployment lines, and the secondary and tertiary companies that supply and contract for GM also shutting down. 200,000 employees * 1,000/mo unemployment * 100 weeks = $20 billion dollars. Obviously a terrible case, but not even a worst case as I examine only GM employees and not the subsequent losses in direct suppliers/contractors and community losses relying on those employees patronage. Sure, the investment may not have great returns. But are you calculating the billions in reduced welfare, or the billions in increased GDP, or the effect of stopping a negative feedback loop which spirals more deeply? I mean, a GM level destruction isn't just GM. Isn't just suppliers. It's grocery stores. It's car mechanics. It's big box stores. It's fast food. It's everything in those communities that former employees patronized. When you examine the decision more deeply than "net dollar returned" I think you'll develop a greater appreciation for the economic benefits of entire communities not being ruined.
- MajorLOL 11y ago
  So the core of it is; the ROI is irrelevant, it's value was the prevention of job loss and market failures. Now you see why I'm not excited and jumping for joy when people spin it as a profitable investment. It never was a money making endeavor, if it turned out to be, it was by happenstance.

criley2 11y ago

>It's sounding like a worse investment all the time. Until you realize the negative feedback loop of hundreds of thousands of GM employees hitting unemployment lines, and the secondary and tertiary companies that supply and contract for GM also shutting down. 200,000 employees * 1,000/mo unemployment * 100 weeks = $20 billion dollars. Obviously a terrible case, but not even a worst case as I examine only GM employees and not the subsequent losses in direct suppliers/contractors and community losses relying on those employees patronage. Sure, the investment may not have great returns. But are you calculating the billions in reduced welfare, or the billions in increased GDP, or the effect of stopping a negative feedback loop which spirals more deeply? I mean, a GM level destruction isn't just GM. Isn't just suppliers. It's grocery stores. It's car mechanics. It's big box stores. It's fast food. It's everything in those communities that former employees patronized. When you examine the decision more deeply than "net dollar returned" I think you'll develop a greater appreciation for the economic benefits of entire communities not being ruined.

MajorLOL 11y ago
So the core of it is; the ROI is irrelevant, it's value was the prevention of job loss and market failures. Now you see why I'm not excited and jumping for joy when people spin it as a profitable investment. It never was a money making endeavor, if it turned out to be, it was by happenstance.