Government assistance to General Motors and Chrysler enabled orderly bankruptcy proceedings and led to the saving of more than 1.14 million jobs in 2009 alone, according to a recently released study by an automotive think tank.
The study, by the Ann Arbor-based Center for Automotive Research, estimated that an additional 314,400 jobs was saved in 2010. The government help save $96.5 billion in potential personal income losses and allowed $28.6 billion in social security and personal income taxes to be paid to the federal government.
At the time of the bailout, some pundits, and even some lawmakers, suggested that Chrysler and GM didn’t deserve the government’s help. Some even suggested that the bailout was a waste of government money.