The GM Bailout: Did Obama really save the Auto Industry?


As the 2012 election approaches, there will be much talk on both sides regarding the Obama administration’s role in saving the American automotive industry.  You don’t have to take the Obama administration’s word for this, The Economist (initially against government help for the auto industry) has since issued an apology. And GM is once again the largest auto maker in the world.

From The Economist:

First, here are a few charts which show a clear correlation between the Obama administration’s actions and activity in the auto industry.

automotive jobs obama

obama auto industry

Because the above fact looks good for the Obama campaign, it looks bad on Republicans, especially Mitt Romney who suggested allowing Detroit to go bankrupt.  So Republicans have a list of “reasons” why the auto bailouts were still a bad idea.  I have organized them below and provided responses to them.Continue reading