Wednesday, February 29, 2012

The Importance of Car industries

I came across an article called Auto bailout worked, candidates should admit it describing whether bailing out General Motors(GM) and Chrysler was a necessary. George W. Bush started the government bailout for GM and Chrysler in 2008, which was continued by Barack Obama. Many politicians disagreed with George W. Bush decision because they thought that the money could be used for better causes and that the car industry would not succeed. However, the rescue of GM and Chrysler had succeed and is now profitable. If the government had not bailed out GM and Chrysler, then every car in the U.S. would be imported from other nations. If every car was imported, then that would lead to money flowing out of the country and into foreign nations. In addition, many workers would have lost their jobs and the government would've had to pay for the workers benefits and much more. Politicians doubted whether this bailout would succeed or not, and they have just been proven wrong. According to this article, "Last year, GM sold more vehicles than any other automaker in the world... and the domestic auto industry as a whole has added 207,000 jobs since June 2009". The author of this article wanted the politicians to admit that George W. Bush and Barack Obama made the right decision. I also think that the author is credible because they provided solid statistics and good arguments about whether the bailout was worth it or not. In the end, what the author said is true because GM and Chrysler are back on there feet and the company will remain profitable.

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