Auto bailout: If Romney had his way
October 23rd, 2012
11:57 AM ET
2 years ago

Auto bailout: If Romney had his way

New York (CNNMoney) - Would the U.S. auto industry be doing as well as it is today if it was Mitt Romney competing his first term as president?

Romney argues that his plan for the industry in his now-famous November 2008 New York Times op-ed piece, "Let Detroit go bankrupt," was what the Obama administration eventually did: a managed bankruptcy at both companies.

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Filed under: 2012 • Auto Bailout • CNNMoney.com • Mitt Romney
soundoff (40 Responses)
  1. HUSSEIN OBAMA = LIAR

    Everything I see (vendors on the road ect...) tells me we're easily going into another recession at best. Probably worse. The MSM is trying to prop up the messiah but reality keeps getting in the way.

    October 23, 2012 01:10 pm at 1:10 pm |
  2. Johnny

    "Funny how the OP-ED piece is dated Nov 2008 (after the last election) but Romney insists that he wrote it when Bush was president."

    Um... Obama didn't become the president until January 20, 2009... sooo... Bush was the president when his op-ed was written and released.

    October 23, 2012 01:12 pm at 1:12 pm |
  3. wjmccartan

    Four and the Door

    The government in Ontario did the exact same thing in order to save jobs and to keep people employed, where do you think all the tax money from the employees go, to some far away place, no right back to the government. Where do the dollars these employees make go, back into the local economies. Michigan itself has lost so many people from the closures of manufacturing facilities, that to allow the auto industry to collapse on top of that would have further destroyed their economy. America doesn't need to have third world states to satisfy the bottom line, I don't know if four years later the amount of money put back into the economy equals the figure you represent, but American workers who have benefited from saving the industry would probably argue that is has kept food on their table. These dollars spent here were worth every penny compared to GW finishing his daddy's war. That's costs are in the trillion dollar range. Nobody is perfect and that will always be true, but Romney's history shows he is willing to screw the American worker over the dollars he can put at the bottom line. That disqualified him from the job, regardless of his change of heart, that has only been precipitated by this presidential run.

    Lucid One

    October 23, 2012 01:14 pm at 1:14 pm |
  4. L

    It was acceptable to Romney to let Detroit go bankrupt because only the "auto workers" would have been hurt. Millions of people would have lost their jobs due to the shut downs and it would have hit auto dealers harder and auto parts distributors. But in Romney's mind the auto executives would come through a bankruptcy and put things back together having never missed a pay check. He is so not for the average American and has no concept of how his selfish policies would affect the American people. He has never worried a day in his life about his own health care, so he thinks Obamacare is "unnecessary". Tell that to the millions who don't have health insurance and die because they can't afford overpriced private sector insurance. Or those who suffer from cancer and other preexisting conditions and can't get anyone to insure them. He is not a public servant, he is a business man, and because of that he has no idea what it takes to represent the poor, the middle and the wealthy. Anyone in need is useless to him and he said that in his 47% speech. He has no business trying to run for the office of POTUS. Obama '12!

    October 23, 2012 01:14 pm at 1:14 pm |
  5. anonoymous

    I love what if questions.....facts Detriot and Ohio auto worker community and the businesses surrounding them are doing fine. The economy is improving. I live in Kansas and there's construction everywhere. My state maybe red but there's a lot of blue here in the suburbs where I live. Our unemployment is at record lows and more good paying jobs are coimg to KC.Google fiber Cerner and houses are being built. Doesnt sound like the president's tax policies are crippling my community. We like things the way they are except for Kris Kobach Kevin Yoder and Brownbeck we're fine.

    October 23, 2012 01:15 pm at 1:15 pm |
  6. Gerald B

    Mitt Romney would have put Detroit Bankrupt. No private capital was offered. No Banks, No Bain Capital. Only the Government under President Obama.

    October 23, 2012 01:15 pm at 1:15 pm |
  7. GetThatMoneyMitt

    Hi, im business, have we met? GM isnt a non profit charity organization, they area business. Businesses are created to make profits ..... and grow. If its not doing that, then it needs restructured right? How many ways can you restructure a business? Hundreds of ways. How many ways can claim bankruptcy? A few, but with many options after. The end result needs to be profits, otherwise youll be in the same boat years down road, broke and closing doors. Mitt knows how to do business, his resume says it all, and sometimes, businesses need to be liquidated too. If so, then so be it, it was prob a smart business decision. Go to business school and learn a little about business and how to make money, then you can appreciate Mitt a little.

    October 23, 2012 01:16 pm at 1:16 pm |
  8. HUSSEIN OBAMA = LIAR

    Interesting how you liberals conveniently forget the auto bailout started under Bush.

    The liberal argument is not rooted in reality.

    October 23, 2012 01:18 pm at 1:18 pm |
  9. Johnny

    @Disgusted
    "The debt owed to those creditors would have been written off, something many of these other companies couldn't have survived."

    Under chapter 7 bankruptcy, that would be true. The company would have been liquidated and the proceeds would pay off debtors in order of their respective lien position. Romney, however, was a proponent of taking GM through Chapter 11 bankruptcy where debts would be suspended, the company would be restructured, and debts would be restored. I would also like to point out that GM filed for chapter 11 bankruptcy on June 8 or 9 of 2009 even after the bailout. So in your world of "oh noes, the debtors would have been screwed," that still would have theoretically happened. But it didn't happen because that's not how chapter 11 works.

    October 23, 2012 01:20 pm at 1:20 pm |
  10. joe

    Okay America...we're down to the homestretch. As the moderator concluded last night, it's time (to get off our asses) to vote. The mediia says it's going to be an extremely tight election. It is critical that every eligible voter realizes that their vote counts. On Election day, bring a friend, neighbor or relative with you to vote. And for the sake of the furure of our country, vote for the man who can articulate an answer to a question (Obama), not the guy who's proven that he can't.

    October 23, 2012 01:26 pm at 1:26 pm |
  11. Four and The Door

    wjmccartan
    Four and the Door
    The government in Ontario did the exact same thing in order to save jobs and to keep people employed, where do you think all the tax money from the employees go, to some far away place, no right back to the government. Where do the dollars these employees make go, back into the local economies. Michigan itself has lost so many people from the closures of manufacturing facilities, that to allow the auto industry to collapse on top of that would have further destroyed their economy.
    _____________________________________________________________________________________________
    I have just one thing to say to your rant. Ford. ( How's that whiz-bang Volt selling? )

    October 23, 2012 01:36 pm at 1:36 pm |
  12. HUSSEIN OBAMA = LIAR

    The choice is obvious............

    ROMNEY / RYAN 2012

    October 23, 2012 01:37 pm at 1:37 pm |
  13. GI Joe

    Romney lies again – he claimed Obama's policies are good, but his Bush Foreign Policy Advisors will take over after the election and every lie Mitt told will be out the door again.

    Romney is NOT to be trusted.

    Obama/Biden 2012

    October 23, 2012 01:37 pm at 1:37 pm |
  14. RR

    If I were thristy and had to choose between Romney giving me water or sand, I would drink the sand.

    October 23, 2012 01:47 pm at 1:47 pm |
  15. kevin

    What Mitt was talking about was the same thing along the lines of what happened to Chyrsler in the 80"s. With government loans (not ownership) GM would have been better off. Don't forget the cost: $30 billion or more that will never be paid back (Lee Iacco paid everything back) 30,000 Delphi white collar, non-union, workers lost all their pensions, a life's worth of savings gone. Hundreds of dealers forced out of business costing over 100,000 jobs. GM forced to produce the Volt which isn't selling and because of that A123 battery maker in bankrupty and being bought by a foriegn company. GM stock will never reach $60 a share to pay back the government. Debtors and former stockholders lost all their money. Under Chapter 11 that is not suppose to happen yet Obama saw to it the law was ignored and thrown out with the trash. The only group who didn't share the pain was the UAW who got everything protected.

    October 23, 2012 01:48 pm at 1:48 pm |
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