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Bail Out of the Auto Industry
Posted on November 25th, 2008 at 10:21 am by angelapearson and tagged , , ,

The auto industy is going in to debt at least one billion dollars every month.  So the 10 billion that they want to borrow will only last them 10 months, or the 10 extra months will enable them to become a profitiable company.  Chrysler is owned by a company called Cerberus.  If Cerberus gets the GM company then they will combine the companies and it will become Cerberus and then all the people will lose their jobs and the unemployed will become higher and it will make it harder for the young adults to get jobs once they get out of school.  But Paulson’s pereference is that he should get a 25 billion dollar low- interest loan set up by an Energy Department in September. 

So my opinion on this whole thing is that GM should not go in wiht the Cererus company.  Because that will mean they unemployed will go up.  But if they get the 25 billion dollar loan then they will only have what 25 months to make something happen, and if they don’t then you will still have the problem of the people being unemployed.  So i think the Government should help the auto industry out and try to keep them going.