A counterfactual review of the US Auto Bailout policy in the aftermath of the 2008 financial crisis

A counterfactual review of the US Auto Bailout policy in the aftermath of the 2008 financial crisis

A counterfactual review of the US auto bailout policy in the aftermath of the 2008 financial crisis

 

 

 

Abstract

This paper is a counterfactual review of the financial bailout that was given to the car manufacturing industry in the USA between 2008 and 2009. It argues that this was a necessary intervention by the US government in order to prevent or mitigate the loss of jobs, incomes and opportunities within the car manufacturing sector as well as the wider economy. Had this policy not been adopted, the impact would have reveberated across the entire US economy. 

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