12.06.2008
Economic Policy Institute report
When giants fall
Shutdown of one or more U.S. automakers could eliminate up to 3.3 million U.S. jobs
The U.S. motor vehicle industry is one of the largest, most complex and highly integrated sectors of the U.S. economy. The Economic Policy Institute, a nonprofit, nonpartisan Washington-based think tank, reports that up to 3.3 million jobs would be lost.
Job losses would be widespread throughout the U.S. economy.
The biggest job losers would be:
- Michigan: 112,500 to 407,300 jobs lost
- California: 84,500 to 305,900 jobs lost
- Ohio: 60,500 to 219,100 jobs lost
- Texas: 55,200 to 200,000 jobs lost
- Illinois: 42,800 to 154,900 jobs lost
- Indiana: 40,700 to 147,300 jobs lost
- New York: 39,900 to 144,600 jobs lost
And after the U.S. auto market recovers from the current historic recession, the U.S. trade deficit could rise by at least $110 billion per year as imported vehicles displace domestic brands, increasing the deficit by 16 percent and putting additional downward pressure on the U.S. dollar and living standards.
