Friday, 05 December 2008 13:16

Stimulus Needed, as well as Loans, to Save Detroit Three

"Getting the loan is an important first piece of the puzzle, but will not be enough on its own," says Jeremy Anwyl, Edmunds.com's CEO . "There are other actions that need to be taken to preserve taxpayers' investment in the automotive industry."  Anwyl said he believes the government should provide some sort of stimulus to move leery consumers back to the marketplace.


Granted, pent-up demand has been increasing, but the financial crisis is still on the forefront of consumers' minds, dissuading many of them from making major purchases. Therefore, Edmunds.com believes the government should step in to provide encouragement for consumers. "Even modest encouragement from the government could go a long way," the company noted. Anwyl also stressed that lawmakers should create an energy policy that shifts demand back to fuel-efficient models, saying this will benefit the overall industry.

"If domestic automakers are expected to convert their fleet to smaller, more fuel-efficient vehicles, there must be support for influencing widespread and consistent consumer demand for such vehicles," he said.

 

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