Spain announces $5.3 billion in aid for domestic auto industry
Click above for a high-res gallery of the 2009 Seat Ibiza Ecomotive
The United States, the United Kingdom and France have already announced plans to stimulate the ailing automakers and suppliers that do business in their countries, so it's not too surprising to hear that Spain has joined in the ranks as well. Like those other bailout packages, the Spanish government is highlighting the need to invest in eco-friendly automotive technologies.
According to data provided by the Spanish government, 350,000 people are employed in auto-related industries in Spain and 6 percent of the country's GDP is related to the automotive market. Last year, new car sales in Spain dropped by about 28 percent, which seems to be about the average slump worldwide.
The European Union has requested additional information from Spain regarding the plan before it will sign off on the aid package. Some European countries have complained that France's plan amounts to illegal protectionism.
Gallery: 2009 Seat Ibiza Ecomotive
[Source: International Herald Tribune]
Reader Comments (Page 1 of 1)
Tim 9:41AM (2/17/2009)
This whole bailout thing is crazy. Its simple supply vs demand economics. The market lacks the demand so the suppliers can't sell their cars and are hurting. There needs to be less supply and that means closing plants and having fewer suppliers.
This is really basic stuff. Liberals have “superior intellects” so I’m sure they can see it quite clearly.
http://en.wikipedia.org/wiki/Supply_and_demand
Instead, the Statists (liberals, progressives, Democrat-socialists etc.) just take from the productive and give to the non-productive. It's like paying farmers taxpayer money NOT to farm, then forcing us to pay more for corn-ethanol to prop up corn prices. That's not progress! It's just STUPID!
Don't you people believe in evolution or are you just flapping you lips telling lies?
If we don't need them and won’t buy what they are selling, then let them go out of business or re-organize themselves in bankruptcy court as part of business natural selection and evolution so they can make something we will buy.
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