Industry sector

Jeff Sommer talks with Louis Uchitelle about the manufacturing sector in the United States. The economy in the USA has been declining for the past years. It all started with the fall of the market due to different investment banks that were going bankrupt. Following the banks, the automobile sector starts to see some of its best going bankrupt, GM, Chrysler. In order to respond to this economical crisis, the Government started to step in by giving stimulus plan to those who were most in need, or "too big too fail". But the real problem, as it is said in the podcast, is that the USA consumes more than they produce, which create a trade deficit. The industrial production has decline to 17.3%, unemployment rate is still at its worse.
The Government has came up with manufacturing policies to help those companies and the suppliers, but the most important is to come up with a policy that will enhance the production as well as the consumption so that the trade deficit will decrease. The Obama administration has been working on it more than the Bush Administration had. Even though the USA is in a depression and the manufacturing industry is declining, it still has an importance part to play in the recovery of the Economy. The automobile industry are now focusing on the renewable energy to upgrade their cars and make them more competitive.
Every step that have been done to make the economy recovers will be seen sometime in the future. As it is says "thing has to get worse before they get better". The USA is in the worse part right now and lately we have seen that it started to get less worse, with banks that reported huge profit for the second quarter, GM, which is "out of bankruptcy", but the worse part is unemployment that still climbs up high.