Automobile Industry

Automobile Industry 1. GOVERNMENT INTERVENTION AND POLICIES: 2009 – 2012
Write a 1/2 page paragraph briefly describing Government Intervention and Policies used to rescue the automobile industry during 2009- 2012. The topics below need to be introduced in this paragraph at a very high level. I. Fiscal Counter-Cyclical Policy
1 Tax policy: Stimulus packages and tax cuts
2. Government spending II.Monetary Counter-Cyclical Policy
1. Lowering discount rates
2. Purchasing of securities
3. Lowering of legal reserve
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