US auto bailout a solid success

EVERY so often, we ought to celebrate our victories.

The auto bailout is a case in point. Six years ago, it was wildly controversial, with the fate of General Motors (GM) and Chrysler hanging in the balance. Now, it's clear that the bailout was a solid success.

The revitalised auto industry has been a pocket of strength in a lacklustre economic recovery. Motor vehicles and parts have provided 25 per cent of the recovery's gain in manufacturing, despite representing only 6 per cent of manufacturing's value added. Since mid-2009, the number of manufacturing jobs increased by 256,000, up 41 per cent from the low of 623,300. Dealerships and parts stores added another 225,000. (All gains are as of mid-2014.)