Lehman Fallout Could Have Indirect Impact On Michigan Auto Industry ANN ARBOR, MI (Michigan Radio) - All the trouble on Wall Street over the past few days could create new problems for Michigan's carmakers.

The failure of Lehman Brothers, the sale of Merrill Lynch, and the severe drop in stock prices will have no direct impact on Michigan.

But economist Dana Johnson of Comerica Bank, says in the end, everything is connected. And the trouble on Wall Street will have a very real impact.

"The real gyst of it is that it's making credit more expensive to borrow and harder to borrow," Johnson says. "Harder to find somebody who's willing to make you a loan, whether you're borrowing to finance a car or a house or some sort of business expansion."

Johnson says fewer loans means fewer car buyers. And that could cause more problems for an auto industry that's already hurting. But Johnson says the latest impact will not be severe. © Copyright 2009, Michigan Radio