The Great Recession Of The Automotive Industry Essay

780 Words Oct 10th, 2016 4 Pages
The great recession in America was an economic disaster. In 2008, almost 8 million people lost their jobs. Along with that, it wiped out small and big businesses. Not only did it affect the US, but other countries who traded with the US experienced some changes too. The industry that faced major losses was automotive. The automotive industry was hit particularly hard and plays a big role in the economy. In this essay, i will analyze the automotive industry, its major competitors and the time period will be from 2008 to present. First of all the reason why I chose the time period to start at 2008 was because of the great recession. It was an interesting time period for the automotive industry . It was there where we saw the automotive industry clasping. Most companies struggle but managed to stay in business, however, two out of three big automotive companies faced a lot of loss. They were both about to shut down but the government intervenes due to the company being too big to close down. Those companies employed a lot of people so closing the business would have made the economy worse. The two companies were, General Motors and Chrysler. General motors alone has an employment of 216,000. They both were bailed out by the government. They way they were billed out was the government bought most of their stocks and when the company recovered from the crisis they bought the stocks back from the government. The bailed out happened in 2010. Now we are currently facing a…

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