Politics

Video: Mitt Romney Takes Credit for Saving the Auto Industry

| by Michael Allen

On Monday, Republican presidential candidate Mitt Romney credited himself for the U.S. auto industry’s recovery because he had called for car companies to go bankrupt (video below).

Romney told told Cleveland’s WEWS-TV: “I pushed the idea of a managed bankruptcy. And finally, when that was done, and help was given, the companies got back on their feet. So I’ll take a lot of credit for the fact that this industry’s come back."

In a 2008 New York Times op-ed titled “Let Detroit Go Bankrupt,” Romney warned that if a bailout was provided to the auto industry then “its demise will be virtually guaranteed.”

However, Arthur J. Gonzalez, a former federal judge in U.S. bankruptcy court, said that G.M. and Chrysler only survived because they went into a managed bankruptcy strengthened by the government bailouts that were approved by Presidents George W. Bush and Barack Obama.

Gonzalez told ABC News earlier this year: “One thing is clear, without government support in one fashion or another, there were no sources of funding.”

Obama campaign co-chair Ted Strickland on Monday responded by saying: "[Mitt Romney's] comments today that he will ‘take a lot of credit that the [auto] industry has come back’ are a new low in dishonesty, even for him. Mitt Romney seems to think Americans will just forget the past and his very vocal and clear opposition to the successful auto rescue.”