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Autonation CEO Mike Jackson on the state of the economy and the impact of the auto bailouts on the election.
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-- -- the car companies out but that is not help saying Michigan out when it comes to the president's poll numbers all of the auto industry a new polls join the race there.
Dead even it.
But car sales are coming alive at least that the biggest auto dealer chain all the nations revenue rising well present.
In the latest school dances the CEO Mike Jackson.
How what he -- of this that presidential conundrum on it is we're going to look at it Mike that you'd think that -- state.
That directly perhaps more than any other benefited from the auto bailout is is not doing more and it.
-- its its -- to the president what's going on.
Well I think first yeah we have to remember that the decision to step in the auto industry was made by George Bush that's right it's starting with the present crisis was.
It's it -- the prices was in the fall of 08 and he -- at the end but George Bush -- industry off to President Obama.
Obama then decided to restructure the industry the auto task force -- the fundamental decision to save the industry was made by George.
What would you know they've rob what's -- I -- Ronnie was against the that he wanted to structured bankruptcy in Canada where we got that the only differences.
Been a lot of taxpayers are paying a lot of money.
To get that out but but there apparently does not seem to be nearly.
The ill will toward Mitt Romney.
Because of that want.
I think there's a basic understanding that if Romney had been president he would have done what was necessary that we did not have.
An industrial Armageddon not and industrial Lehman Brothers type of day.
-- Internet way to -- an analyst -- president he would have.
Gone for bella yes he they whatever he would have had made a difference aspects would have been different.
But he would have stepped in and bridge the gap and -- met with Romney on this issue.
For last 23 years intensive discussions.
And that maybe he would've done it a bit different -- but he would not have let that crisis sweep the American.
Automobile industry away on Sears sets of what is going -- in Michigan and all of these tight the western states a lot of them big manufacturing states.
Where they are as tight as a tick why is that and why.
Is Mitt Romney doing as well as he did because it does go against the grain and and that you what what you would -- we -- Should be the case what's happening.
Well I think why auto industry is a bright spot the overall economy and his overall economic recovery is tepid and weak.
We're down the growth of one point 5% GDP and imagine -- This is where did.
Greatest monetary and fiscal stimulus in the history.
Of mankind.
0% interest rates QE3.
And four trillion dollar deficits and we got growth of one point 5%.
And the only reason the unemployment rate is down is because so many people are discouraged they've left the workforce.
I mean -- there is real pain out there across America as so the question is -- Clue is gonna get this economy moving again.
It will be Obama but he's had for years and still hasn't figured out how to get it done.
-- Romney really have a greater understanding of what America needs at this month.
What explains -- greater stronger economic growth but what explains the pick up an auto activity -- own -- today.
Obviously a lot of people -- we have you've addresses -- about a lot of old guard they have to replace them.
But it it's really a disproportionate to almost any other sector did -- come back what what's gonna.
But hey here's a way to think about it -- in LAL nine.
And he country had a recession.
Autos had a had a great the crash hit.
Sales plummeted from seventy million a year down to certain months -- selling rate of nine million a year.
People could not get their cars finance to get a replace it pushed out the average age of cars in America -- eleven years.
And by the way that it repair the cars during those times so that therefore in Europe they -- -- do something.
It repair the car or take that money put -- on down payment on your car and they come -- and talk -- -- we have exciting new products.
And today we have great financing on cars because guess what.
-- -- price is the car payment went to number one on the list.
Before the mortgage before the credit cards before the kids' education.
And so what is the amount of capital that's flooding and auto finance is unbelievable.
Everybody wants to be and it's -- you put that combination together.
Genuine replacement need exciting new product rate financing we have a recovery underway and automotive.
Very interest and -- always good having a Mike Jackson.
AutoNation these -- they'll always a pleasure residency -- thank you Michael.
Well.
