But certainly if the GM entity had $10B more cash tomorrow, it might not be worth $10B more, but certainly it would be worth $5-$10B more (or at the very least >0 more)?
And of course, they could use that $10B to pay off $10B of their existing debt as well.
All I'm trying to say is that you probably shouldn't compare market caps of companies with vastly different capitalization structures to try and deduce a bigger picture idea of the economy. You should look at enterprise value.
But certainly if the GM entity had $10B more cash tomorrow, it might not be worth $10B more, but certainly it would be worth $5-$10B more (or at the very least >0 more)?
And of course, they could use that $10B to pay off $10B of their existing debt as well.
All I'm trying to say is that you probably shouldn't compare market caps of companies with vastly different capitalization structures to try and deduce a bigger picture idea of the economy. You should look at enterprise value.
http://www.investopedia.com/terms/m/marketcapitalization.asp
http://www.investopedia.com/terms/e/enterprisevalue.asp