Mitt Romney Questions The Effectiveness Of The Automotive Bailout

Its been more than two years since the federal government, and to most it is clear that the effort was a success. However, presidential candidate Mitt Romney has a different opinion. Although Ford is now the second most popular car manufacturer in the United States and both GM and Chrysler are on solid footing, Romney thinks that the government wasted $17 billion. Of course, it is worth noting that Romney will benefit from criticizing anything that President Obama does, however, his statements are not based in truth.

In 2008, when the three largest auto manufacturers in the country were on the brink of bankruptcy, the federal government had no choice but to intervene. The banking industry already had its hand in taxpayer pockets, but allowing both major banks and the automotive industry to fail would have sent the US into total ruin. What’s obvious is that GM, Ford and Chrysler are doing exceptionally well. In fact, the billions of dollars received are soon to be paid back in the near future.

If Ford, GM and Chrysler had failed, the US would have been flooded with foreign cars. There would be fewer manufacturing plants, and more than a million auto employees would still be looking for work. While $17 billion is a lot of money, if any industry was worthy of a helping hand, it is certainly the automotive industry. Car makers are employing out of work Americans in record numbers, and car shopper are finally in a position to upgrade their vehicles again.

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