Auto Industry Compare and Contrast Essay

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The U.S Auto Industry: Factors to Consider in a Bailout With continued uncertainty in the economy, and U.S. businesses collapsing all around, another tough decision game recently for the federal Government: Do we, or do we not provide taxpayer dollars to bailout the failing American auto industry? With supporters both for and against an auto bailout, Congress had to make a decision based upon what was best for today’s tough economic times. Recently, two publications, The Nation, and The Pew Research Center, took a closer look at the potential bailout. They examined, very differently, a few of the many factors involved in an auto bailout, but ultimately left the decision up to the reader. I seems that the most heavily weighted subject of the auto bailouts is the concern about the enormous numbers of jobs that would be lost if a bailout is not approved. The Nation talks in depth about the dire need of passing a bailout because of job losses, estimating the potential number of those to be unemployed if it is not passed at three million (20). The Pew Research Center actually lays out in detailed numbers the weight that the auto industry carries for employment. This publication states that 1 in 10 jobs rely on the auto industry, equating to 2.3 million Americans, or roughly 2% of the workforce. Although both publications indicate the large number of jobs to potentially be lost, The Pew Research Center article provides much greater clarity of the impact. Aside from the shear number of jobs lost - should the auto industry fail, both publications looked at other possible effects, such as the effect of GDP and other incurred costs, that would trickle through the economy. The Nation is clear on this by stating that allowing the auto industry to fail would be catastrophic since 4% of the gross domestic product is produced by the U.S. automaker (20). Another impact noted

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