The plan led to the reduction and or closure of “14 factories, 2,400 dealers, 21,000 hourly-paid jobs, 8,000 white-collar jobs,” (The Economist) and by doing, so it would be able to save $79 billion in order to pay off upwards of $172.81 billion it had accrued in debt. The overhaul also called for the resignation of their Chairman and CEO, Rick Wagoner. In my research paper I would like to explore how different the markets, as well as union greed and board member mismanagement contributed to the failure of General Motors in 2009. I will take a close look at the collapses of the American Housing market in 2007 as well as the how the price of gasoline nearly doubled in 2008 and what roll those played within GM’s bankruptcy. While exploring these different markets, greed and mismanagement I intend to illustrate how they factored into what could be called the “perfect storm” toppling the Automotive Giant and leading to its
Web. February 23, 2014 Ausick, Paul. “Sharp Rise in Small Business Optimism for Sales, Hiring.” 247wallst.com. February 11, 2014. Web.
A small town, tucked away in the corner of New York, transforms to a booming, port city, in the matter of years. Population skyrockets, factory production begins, and a city is born. Built from the ashes of a once former town, Buffalo has what is necessary to become a thriving city. Located between two lakes, Buffalo has the potential to become something great. Importing and exporting, both goods and people, the word spreads, which is that Buffalo is the place to be.
Nor will they be soothed by economists’ armchair arguments that the government’s roughly $80-billion-a-year tax subsidy to owner-occupied housing has led to a vast overbuilding of the nation’s housing stock. Roger E. Brinner, DRI’s chief economist, figures the plunge in housing value would wipe out more than $1.5 trillion of householder’s net worth. The collapse of the housing market and new home construction, Brinner predicts, would slice 1.2 percent off GDP the year after the flat tax passed, and 1.6 percent in the second year. (Dishman 39) A potentially troublesome law lurks in the flat tax plan of House Majority Leader Richard Armey. The Armey flat tax plans to eliminate business exemption for most fringe benefits, especially employer paid health care.
With many people in Maryland out of jobs, the additions of casinos will drastically decrease the unemployment rate. In 2002, according to the American Gaming Association, casinos provided more than 350,000 jobs to Americans and the number is rising every year. During an interview with Jeff Jester, the ex-horseman representative of Rosecroft Raceway, he claimed how many—if not all—people are losing their jobs at Ros... ... middle of paper ... ...nterview. 4 December 2011. Shaffer, Howard; Hall, Mathew; Vander Bilt, Joni.
In reality they are almost a nightmare to the small locally owned businesses. Jobs are one of the main reasons for the growth of casinos. Across the continent casinos have created tens of thousands of jobs for unemployed people (Clines). Indian casinos in Minnesota have created approximately 5,000 jobs. Between 1975 and 1992 employment in Atlantic City's service industry grew 608 percent, a significant part of this came from casinos which created 95 percent of the new jobs.