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Obama defends auto industry bailout

President touts bailout's success, lashes out at GOP criticism

President Barack Obama defended his auto industry bailout on Tuesday, while speaking to the United Auto Workers on the same day as Republican presidential hopefuls who criticized the bailout faced voters in Michigan.

Obama said that the 2009 bailout of the auto industry prevented another Great Depression from hitting the Midwest, according to CNN Money. He said the $80 billion bailout was the only way to save General Motors and Chrysler Group, and pointed to the successes in the auto industry including record profits at GM and the addition of over 200,000 jobs in the automaker and supplier industries.

Without taking Republican presidential hopeful Mitt Romney by name, Obama said, “Some even said we should ‘let Detroit go bankrupt.’ You remember that. You know him,” according to The Chicago Tribune. He was referencing a New York Times op-ed written by Romney on Nov. 19, 2008.

He continued, “Think about what that choice would have meant for this country... Production: shut down. Factories: shuttered. Once proud companies chopped up and sold off for scraps. And all of you – the men and women who built these companies with your own hands – would've been hung out to dry.”

Earlier this month, Romney said, “While a lot of workers and investors got the short end of the stick, Obama's union allies -- and his major campaign contributors -- reaped reward upon reward, all on the taxpayer's dime,” according to Politico.

Obama swung out at his Republican opponents saying, “It’s been funny to watch some of these folks completely try to rewrite history, now that you’re back on your feet,” reported NPR. He called the Republican criticism that the bailout was simply pay back for union support a “load of you-know-what.”

This article originally appeared on GlobalPost.

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1 comment on this story

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1768 comments
Feb 28, 2012, 7:12 pm
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Yeah, God forbid we would have let capitalism run its course, and people held accountable for their idiocy as the free market demands, right?

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President Obama speaks the United Auto Workers on Tuesday.

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