The spin does not get any better than this… As they reported they would,
- *LEW SAYS U.S. SOLD ALL REMAINING SHARES OF GENERAL MOTORS RECOUPING $39 BLN OF ORIGINAL GM INVESTMENT
That is a $10.5 Billion loss! But, The Center for Automotive Research, a Michigan nonprofit organization that analyzes auto industry issues, those funds “saved or avoided the loss of $105.3 billion in transfer payments and the loss of personal and social insurance tax collections — or 768% of the net investment.”
Additionally, the center said the bailouts and financial restructurings saved about 2.6 million jobs in the U.S. economy in 2009 and $284.4 billion in personal income over 2009 and 2010.
In the report, “The Effect on the U.S. Economy of the Successful Restructuring of General Motors,” researchers Sean McAlinden and Debra Maranger Menk wrote that the value of the bailouts can’t be considered just by what the taxpayers will lose in the sale of GM’s stock.
“If you only count the things that make you look good and don’t count the things that make you look bad, any investment will look good and any investment will be profitable,” said Dan Mitchell, senior fellow at the libertarian-leaning Cato Institute.
He said the analysis doesn’t place a value on the adjustments that the auto industry would have been forced to make in the absence of a bailout.
“Those adjustments, more meaningful concessions in labor costs and work rules, would have put the auto industry on a sounder footing,” he said.
We can't wait to hear how much Bill Ackman made or saved on his Herbalife investment…
Ackman lost a ton on HLF, but because the company didn't liquidate he made or saved thousands of Herbalife jobs.
— zerohedge (@zerohedge) December 9, 2013
via Zero Hedge http://feedproxy.google.com/~r/zerohedge/feed/~3/uCXvvCFfmNE/story01.htm Tyler Durden