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Világgazdaság - Hungary | Thursday, February 19, 2009

Help for the automotive industry won't pay off

The business newspaper Világgazdaság writes that injecting funds into the automotive industry will not pay off: "The restructuring of the bank sector has not yet ended, and already huge sums are being pumped into the automotive industry. The reasons lie on the one hand in the credit squeeze on the markets and on the other in people's anxiety about the future. ... But is it worthwhile to inject such astronomical sums into the automobile industry? If the result is a sector that produces cheap, comfortable electric cars, the answer is yes. More probable, however, is that the antiquated structures and overproduction will remain. So it's not worth it."

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