The bail out of the United States Auto Industry is a topic that is often disregarded among the media, but many people don’t see its significance to our nation. This topic has personally effected my family as my dad had a career in this field for a very long time, and I therefore understand the true importance of this issue and how it effects families more than they even know. The Obama administration essentially saved the domestic automobile companies which, and not many people realize this, practically saved our economy from a depression.
One of the forgotten initiatives of the Obama administration is the Automotive bail out.
The initial saving of the American auto industry was started by George W. Bush in his final days in office.
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It’s initiative was also hoping to secure future auto growth as didn’t want two out of three companies to go down with the poor economy.
At the time of the bailout, the “Big Three” (Chrysler, Ford and General Motors) had employees, part-supplier employees and after marked business employees totaling around 1.6 million. The US Bureau of Labor Statistics estimates an estimated two to three million people relied on the auto industry for employment, health care and retirement pensions. It was estimated that if the big three were to shut down it would increase imported cars which would remove up to $25 billion from our US economy. Obviously, Obama had to do something.
President Bush began steps for the automotive bail out at the end of his term in December of 2008. It was up to the Obama administration to determine if the US automakers were making progress in restructuring their operations for long term success. Obama addresses congress in 2009 saying that the government money given to the domestic auto industry should result in more efficient cars and trucks built in the United States as millions of jobs depend on