“Critics of the federal auto bailout will no longer be able to refer derisively to GM as ‘Government Motors’ — on Monday, Treasury Secretary Jack Lew announced the U.S. government has sold its remaining shares in the carmaker,” writes NPR’s Scott Neuman.
“With the final sale of GM stock, this important chapter in our nation’s history is now closed,” Lew said, announcing the sale.
The net? Taxpayers lost $10.7 billion on the deal.
However, as CNN Money writes: “Still, it is estimated that 1.5 million jobs were saved by keeping General Motors and smaller rival Chrysler afloat through bailouts, according to the Center for Automotive Research. That’s why many economists argue that the bailout worked, even if taxpayers are not completely repaid.”
As NPR’s Scott Horsley reports, “Thanks to the turnaround, the U.S. auto industry is now profitable and has added some 370,000 jobs in recent years.”
In a White House statement, President Obama said when he took office in 2008, the American auto industry was “on the verge of collapse.”
Today’s Question: Was the GM bailout worth it?